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Full text of "North Carolina Register v.2 no. 8 (11/16/1987)"

17 ^S^ KPMn^JH/. /; ./N^l 



NOV mjasr 



~-1 



OR» LIBRARY 

NORTH CAROLINA 

REGISTER 



IN THIS ISSUE. 



^OKTH , 



CONa 
TITl 



CORRECTION 

FINAL DECISION LETTERS 

PROPOSED RULES 
Agriculture 
Human Resources 
Licensing Boards 
NRCD - 

FINAL RULES 

Human Resources 

LIST OF RULES AFFECTED 

ISSUE DATE: NOVEMBER 16, 1987 



Volume 2 • Issue 8 • Pages 488-544 



INFORMATION ABOUT THE NORTH CAROLINA REGISTER AND ADMINISTRATIVE CGI 



NORTH CAROLINA REGISTER 

The North Carolina Register is published monthly and 
contains information relating to agency, executive, legislative and 
Judicial actions required by or affectiiig Chapter I50B of the 
General Statutes. All prop>osed administrative rules and amend- 
ments filed under Chapter 1 508 must be published in the Register. 
The Register will typically comprise approximately one hundred 
pages per issue of legal text. 

State law requires that a copy of each issue be provided free 
of charge to each county in the state and to various state officials 
and institutions. The North Carolina Register is available by 
yearly subscription at a cost of ninety-five dollars ($95.00) for 
12 issues. 

Requests for subscription to the North Carolina Register should 
be directed to the Office of Administrative Hearings, P. O. 
Drawer 11666, Raleigh, N. C. 27604, Attn: Subscriptions. 



ADOPTION, AMENDMENT, AND REPEAL OF RULES 

An agency intending to adopt, amend, or repeal a rule must 
first publish notice of the proposed action in the North Carolina 
Register. The notice must include a reference to the Statutory 
Authority for the action; the time and place of the public hearing 
and a statement of how public comments may be submitted to 
the agency either at the hearing or otherwise: the text of the 
proposed rule or amendment; and the proposed effective date. 

The Director of the Office of Administrative Hearings has 
authority to publish a summary, rather than the full text, of any 
amendlinent which is considered to be too lengthy. In such case, 
the fiill text of the rule containing the proposed amendment will 
be available for public inspection at the Rules Division of the 
Office of Administrative Hearings and at the office of the 
promulgating agency. 

Following publication of the proposal in the North Carolina 
Register, at least 60 days must elapse before the agency may take 
action on the proposed adoption, amendment or repeal. 

When final action is taken, the promulgating agency must file 
any adopted or amended rule with the Office of Administrative 
Hearings. If it differs substantially from the proposed form 
published as part of the public notice, the adopted version will 
again be published in the North Carolina Register. 

A rule, or amended rule, cannot become effective earlier than 
the first day of the second calendar month after the adoption is 
filed. 

Proposed action on rules may be withdrawn by the pro- 
mulgating agency at any time before final action is taken by the 
agency. 



TEMPORARY RULES 

Under certain conditions of an emergency nature, some 
agencies may issue temporary rules. A temporary rule becomes 
effective when adopted and remains in effect for the period 
specified in the rule or 120 days, whichever is less. An agency 
adopting a temporary rule must begin normal rule-making 
procedures on the permanent rule at the same time the temporary 
rule is adopted. 



NORTH CAROLINA ADMINISTRATIVE CODE 

The North Carolina Administrative Code (NCAC) i 
compilation and index of the administrative rules of 25 s 
agencies and 38 occupational licensing boards. The NC 
comprises approximately 15,000 letter size, single spaced pa 
of material of which approximately 35% is changed annua 
Compilation and publication of the NCAC is mandated by C 
150B-63(b). 

The Code is divided into Titles and Chapters. Each state age 
is assigned a separate title which is further broken down 
chapters. Title 2 1 is designated for occupational licensing boa 

The NCAC is available in two formats. 

( 1 ) In looseleaf pages at a minimum cost of two dollars 
50 cents ($2.50) for 10 pages or less, plus fifteen a 
($0.15) per each additional page. 

(2) On microfiche. The microfiche edition is revised se 
annually (March and October) and can be purchased 
forty dollars ($40.00) per edition. Due to the voli 
of the Code, the complete copy can only be purchase< 
microfiche. The NCAC on microfiche is updi 
monthly by publication of a "List of Rules Affect 
which sets out rules filed the previous month, the ac 
taken, and the effective date of the change. This 11 
published in the North Carolina Register. 

Requests for looseleaf pages of rules or the NCAC 
microfiche should be directed to the Office of Administra 
Hearings. 



NOTE 

The foregoing is a generalized statement of the procedun 
be followed. For specific statutory language, it is suggested 
Articles 2 and 5 of Chapter 150B of the General Statute: 
examined carefully. 



I 



CITATION TO THE NORTH CAROLINA REGIST] 

The North Carolina Register is cited by volume, issue, ] 
number and date. 1:1 NCR 101-201, April 1, 1986 refei 
Volume 1, Issue I. pages 101 through 201 of the North Care 
Register issued on April 1, 1986. 



I 



North Carolina Register. Published monthly by thi 
Office of Administrative Hearings, P. O. Drawer 11666 
Raleigh, North Carolina 27604, pursuant to Chapter 1501 
of the General Statutes. Subscriptions ninety-five dollar 
($95.00) per year. 

North Carolina Administrative Code. Published 
March and October by the Office of Administrativ 
Hearings, P. O. Drawer 11666, Raleigh, North Carolin 
27604, pursuant to Chapter 150B of the General Statutes 
Subscriptions forty dollars ($40.00) per edition. 



NORTH 
CAROLINA 
REGISTER 



ISSUE CONTENTS 



I. CORRECTION 

HUMAN RESOURCES 

Notice 488 




Office of Adminhtrathc Hearings 

P. O. Drawer 11666 

Rakish, \C 27604 

(919) 733 - 2678 



Robert A. Mclott, 

Director 
James R. Scarcella, Sr. 

Deputy Director 
MoUy Mason, 

Assistant Director 

Staff: 

Ruby Creech, 

Publications Coordinator 
Teresa Jolinson, 

Editorial Assistant 
Jean Shirley, 

Editorial Assistant 



II. FINAL DECISION LETI ERS 

Voting Rights Act 489 



III. PROPOSED RULES 
Agriculture 

Structural Pest 

Control Committee 492 

Human Resources 

Departmental Rules 492 

Health Services 494 

Medical Assistance 506 

Licensing Boards 

CPA Hxamincrs 516 

Geologists 524 

Refrigeration Examiners 526 

NRCD 

Coastal Management 510 

Community Assistance 51 1 

Enviionmental Management 506 



rV . FINAL RULES 
Human Resources 

Drug Commission 530 

V. LIST OF RULES AFFECTED 

November I, 1987 537 

VI. CUMULATIVE INDEX 541 



NORTH CAROLPs A REGISTER 

Publication Deadlines and Schedules 

(September 1987 - March 1988) 



Issue 


Last Day 


l^st Day 


Earliest 


+ 


Date 


for 


for 


Date for 


Earliest 




Filing 


Electronic 


Public 


Effective 






Filing 


Hearing & 
Adoption by 
Agency 


Date 


++++*+*+ 


*+++++++ 


++++++++ 


++++++++ 


♦+♦++♦++ 


09 '15/87 


08/26 87 


09/02,87 


10/15/87 


01/01/88 


10 1 5 '87 


09'25 87 


10/02/87 


11/14/87 


02/01/88 


11 '16 '87 


10 27/87 


11/03/87 


12/16/87 


03/01/88 


12 15/87 


11/23/87 


12/02/87 


01/14/88 


04 01/88 


01/15/88 


12/28 87 


01/04/88 


02/14/88 


05/01/88 


02/15 88 


01/26 88 


0202 88 


03/16/88 


0601/88 


03 '15/88 


02/24 88 


03/02 88 


04/14/88 


07/01/88 



* The "Earliest Effective Dale" is computed assuming that the public hearing 
and adoption occur in the calendar month immediately following the "Issue 
Date", that the agency files the rule with The Administrative Rules Review 
Commission by the 20th of the same calendar month and that ARRC approves 
the nde at the next calendar month meeting. 



CORRECTION 



THi: so I ICE PV BUSH ED IN THE NORTH CAROLINA REGISTER AT 2:7 NCR 442 AND 
443 SHOLTD READ: 



lyoticc is hereby gh-en in accordance with G.S. I SOB- 1 2 that The Director of the Division of Mental 
Health, Mental Retardation and Substance Abuse Sen-ices intends to amend regulation cited as 10 
.\CAC /4C./n7ib)(/). 



IS oticc is hereby given in accordance with G.S. I SOB- 1 2 that The Commission for Mental Health. 
Mental Retardation and Substance Abuse Services intends to amend regulation cited as [0 NCAC 181 

.0120(94). 



NOR TH CAROLINA REGIS TER 4S8 



. 



VOTING RIGHTS ACT FINAL DECISION LETTERS 



[G.S. /20-30.9H, effective July 16, 1986, requires that all letters and other documents issued by the 
Attorney General of the United Stales in which a final decision is made concerning a "change af- 
fecting voting" under Section 5 of the Voting Rights Act of 1965 be published in the North Carolina 
Register. / 



WBR;MAP:TGL:dvs 
DJ 166-012-3 
S4750-4752 



U.S. Department of Justice 
Civil Rights Division 
Washington, D.C. 20530 



Voting Section 
P.O. Box 66128 
Washington, D.C. 20035-6128 



October 2, 1987 



David A. Holec, Esq. 

City Attorney 

P.O. Box 1388 

Lumberton, North Carolina 28358-1388 

Dear .\Ir. Holec; 

This refers to the three annexations [Ordinance Nos. 958, 959, and 960 (1987)] to the City of 
Lumberton in Robeson County, North Carolina, submitted to the Attorney General pursuant to 
Section 5 of the Voting Rights Act of 1965, as amended, 42 L'.S.C. 1973c. We received your sub- 
mission on August 3, 1987. 

The Attorney General does not interpose any objections to the changes in question. However, 
we feel a responsibihty to point out that Section 5 of the Voting Rights Act expressly provides that 
the failure of the Attorney General to object does not bar any subsequent judicial action to enjoin 
the enforcement of such changes. See Section 51.41 of the Procedures for the Administration of 
Section 5 [52 Fed. Reg. 496 (1987)]. 



Sincerely, 

Wm. Bradford Reynolds 
Assistant Attorney General 
Civil Rights Division 



By: 



Gerald W. Jones 
Chief, Voting Section 



489 



NORTH CAROLINA REGISTER 






VOTING RIGHTS ACT FINAL DECISION LETTERS 



WBR:MAP:KIF:gmh 
DJ 166-012-3 
S5137 



U.S. Department of Justice 
Civil Rights Division 
Washington, D.C. 20530 



Voting Section 
P.O. Box 66128 
Washington, D.C. 



20035-6128 



October 16, 1987 



Michael Crowell, Fsq. 
Thanington, Smith & Hargrove 
P. O. Box 1151 
Raleigh, North Carolina 27602 

Dear Mr. Crowell: 

This refers to Chapter 41 1, H.B. No. 864 (1987), which permits the crossing of township lines 
in drawing voting precincts in Pitt County, North Carolina, submitted to the Attorney General 
pursuant to Section 5 of the Voting Rights Act of 1965, as amended, 42 U.S.C. 1973c. We received 
your submission on August 17, 1987. 

The Attorney General does not interpose any objection to the change in question. However, 
we feel a responsibility to point out that Section 5 of the Voting Rights Act expressly provides that 
the failure of the Attorney General to object does not bar any subsequent judicial action to enjoin 
the enforcement of such change. See Section 51.41 of the Procedures for the Administration of 
Section 5 |52 Fed. Reg. 496 (19S7)j. 

The provisions of this Act are viewed as enabUng legislation. Therefore, any changes affecting 
voting (i^, the reahgnment of voting precincts) adopted as a result of the provisions of this Act will 
be subject to the preclearance requirements of Section 5. See also Section 51.15 [52 Fed. Reg. 492 

(1987)]. 



Sincerely, 

Wm. Bradford Reynolds 
Assistant Attorney General 
Civil Rights Division 

By: 

Gerald W. Jones 
Chief, Voting Section 



NORTH CAROLINA REGISTER 



490 



VOTING RIGHTS ACT FINAL DECISION LETTERS 



WBR:SSC:TGL.dvs 
DJ 166-012-3 
S5465-5467 
S7532 



U.S. Department of Justice 
Civil Rights Division 
Washington, D.C. 20530 



Voting Section 
P.O. Box 66128 
Washington, D.C. 20035-6128 



October 20, 1987 



Michael Crowell, Esq. 
Tharrington, Smith & Hargrove 
P. O. Box 1151 
Raleigh, North Carolina 27602 

Dear iMr. Crowell: 

This refers to change in the method of election to seven single-member districts, the increase to 
seven county commissioners, the districting plan, and the implementation schedule for the county 
commission in Vance County, North Carolina, submitted to the Attorney General pursuant to Sec- 
tion 5 of the Voting Rights Act of 1965, as amended, 42 L'.S.C. 1973c. We received your submission 

on August 21, 1987. 

The Attorney General does not interpose any objections to the changes in question. However, 
we feel a responsibility to pomt out that Section 5 of the Voting Rights Act expressly provides that 
the failure of the Attorney General to object does not bar any subsequent judicial action to enjoin 
the enforcement of such changes. See Section 51.41 of the Procedures for the Administration of 
Section 5 |52 Fed. Reg. 496 (1987)]. 



Sincerely, 

Wm. Bradford Reynolds 
Assistant Attorney General 
Civil Rights Division 

By: 

Gerald W. Jones 
Chief, Voting Section 



491 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



TITLE 2 - DEPARTMENT OF 
AGRICULTURE 

lyotice is hereby given in accordance with G.S. 
I SOB- 1 2 that the Structural Pest Control Com- 
mittee intends to amend regulations cited as 2 
NCAC 34 .0601; .0603 and .0605. 

1 he proposed effective date of this action is 
March I. I9S8. 



Th 



he public hearing will be conducted at 1:00 
p.m. on December 16, 1987 at Hall of Fame, 
Room 101 A, Agriculture Building, I W. 
Edenton Street, Raleigh. NC. 



Co 



omment Procedures: Interested persons 
may present statements either orally or in writ- 
ing at the public hearing or in writing prior to 
the hearing by mail addressed to David S. 
McLeod, Chairman of the Structural Pest 
Control Committee. P.O. Box 27647, Raleigh, 
North Carolina 2761 1. 

CH APIKR 34 - STRLCTLRAL PEST 
CONTROL DIVISION 

SECTION .0600 - WOOD-DESTROYING 
ORGANISMS AGREEMENTS 

.0601 AGREEMENTS 

(a) Before any work is started, the licensee 
or his authorized agent shall be responsible for 
executing a written agreement with, and in- 
forming, in detail, the property owner or his 
authorized agent as to the type and quality of 
work that is to be performed under the agree- 
ment, eft aft¥ jet* whether it- mootfi minimum 
r e quircmentLi «+ ftet-r 

Bet moot minimum requir e ments shall moan 
a»y written agreement, ent e red iwte- hf tl*e 

idf pros^'ntion ef wood destroying organioms 
ef po ' jto, m which treatment fof the control ©f 
prevention ef such organisms e* pests, is He4^ 
te be poribrmod ift acoordanco with minimum 
roquiroments as heroin set- forth. 

(b) If a partial treatment is to be performed 
under Rule .050.3, the written agreement shall 
state: "The treatment proposed by this con- 
tract is a partial treatment. Only those areas 
indicated on the attached foundation diagram 
will be treated. Treatment of these areas wiU 
be perfonned according to North Carolina 
minimum requirements for subterranean 



termite control except as specified by the at- 
tached waiver form." 

Statutory Authority G.S. 106-65.29. 

.0603 WAIVERS 

(a) If fof any reason there are any deviations 
or omissions from the minimum requirements 
for the control and/or prevention of wood- 
destroying organisms, or pests, as hereinbefore 
set forth, each requirement »f iteH* omitted 
shall be fuUy explained, in writing, prior to any 
work being done, on the waiver form(s) pre- 
scribed by the committee, bear the written ap- 
proval of the property owner or his authorized 
agent, and shall be made a permanent part of 
the written agreement, ef contract. A copy 
»f the abovo svai' i 'or form shall be given te- tin* 
property o' l sner ©f his authorized agent within 
^ days from the date ef the contract covering 
wood d e stroying organisms. A dupUcato copy 

^^r TTTW ^TTTTT ur IT17I III CTTTO^r ^^P n.\.n_'r ^^T IIIU 1U\^J T_f I 

the lioonseo. 

(b) In the case of a partial treatment, a 
waiver shall only be required if the minunum 
requirements are not to be followed in the 
treated areas indicated on the foundation dia- 
gram. 

fb)- (c) Incomplete and retroactive waiver 
forms shall not be acceptable accepted unless 
approved by the committee or its authorized 
agent . 

Statutory Authority G.S. 106-65.29. 

.0605 CONTRACTUAL AGREEMENTS FOR 
WOOD-DESTROYING ORGANISMS 

(a) (7) For existing structures the written 
agreement shall include a foundation diagram 
ef sketch of the structure or structures or 
portions of such structure or structures in- 
spected. The diagram shall clearly indicate and 
make fuU disclosure thereon the location of 
individual water sources, any visual evidence 
of wood-destroying organism infestation, 
whether it be active or inactive, and damaged 
timbers. If a partial treatment is to be per- 
formed, the diagram shaU clearly indicate all 
areas of the structure to be treated. 

Statutory Authority G.S. 106-65.29. 

TITLE 10 - DEPARTMENT OF HUMAN 
RESOURCES 



lyotice is hereby given in accordance with G.S. 
150B-I2 that the Office of the Secretary intends 



NORTH CAROLINA REGISTER 



492 



PROPOSED RULES 



to adopt regulation cited as JO NCAC IB 
.0225; amend regulations cited as 10 NCAC IB 
.0201 and .0202; and repeal regulations cited 
as JO NCAC JB .0206; .0208 - .0213; .02 J 5 - 
.02 J6; .02 J8 - .0220; .0222 - .0224. 

1 he proposed effective date of this action is 
April J. 1988. 

1 he public hearing will be conducted at 9:00 
a.m. on December 16, 1987 at Albemarle 
Building, Room 420, 325 N. Salisbury Street, 
Raleigh, North Carolina 276 J I. 

y^omment Procedures: Interested persons 
may present written andlor oral comments at 
the public hearing. Oral presentations may not 
exceed ten minutes. Persons wishing to offer 
comments at the public hearing should contact 
John DeLuca at 325 N. Salisbury Street, (919) 
733-6920 by December 15, 1987. The hearing 
record will remain open for the submission of 
written comments through December 16. J 987. 
Written comments must be sent to John DeLuca 
at the above address by December 16, 1987 and 
must state the proposed rule(s) to which they 
refer. A fiscal impact statement has been pre- 
pared on the proposed rules and can be re- 
quested at OLL.l listed at the address above. 

CHAPTER I - DEPARTMENTAL RLLES 

SLBCHAPTER IB - PROCEDLRE 
SECTION .0200 - CONTESTED CASES 

.0201 DEFINITIONS 

The following terms shall have the following 
meanings unless the context of the rule re- 
quires a dilTerent interpretation: 

(1) "department" means the Department of 
Human Resources; 

(2) "hearing" means a contested case hearing 
as provided in G.S. 150B-2(2) and 
150B-23; 

f^ "hearing ofTicc'r" moanij: 
fa^ a dopartmuntul h e aring ofTicorfc i ) ap- 
pointt ' d by tfee ooorotar t' ©f his/h e r 
dooigncoo; e* 
(fe) a hoaring olTic e r appoint e d hf ti*# di- 
r e ctor ef tfet» OAH; 
f4) 01 "OAH" means the Office of Adminis- 
trative Hearings; 
(4) (4) "secretaTv'" means the Secretary of the 
Department of Human Resources. 

Statutory Authority G.S. J43B-I0; J50B-IJ. 



.0202 REQUEST FOR DETERMINATION 

(a) In accordance with G. S. 150B-2(2), any 
person may request a determination of his/her 
legal rights, privileges, or duties as they relate 
to laws or rules administered by the depart- 
ment. All requests mtist be in writing and 
contain a statement of the facts prompting the 
request sufficient to allow for appropriate 
processing by the department. 

(b) Any person seeking such a determination 
must exhaust all informal procedures available 
before requesting a hearing under G.S. 
1503-23. 

(c) All petitions for hearings regarding mat- 
ters under the control of the department shall 
be filed with the OAH in accordance with G.S. 
150B-23 and 26 NCAC 3 .0003. In accord- 
ance with G.S. lA-1, Rule 4 (j) 4, the petition 
shall be served on a registered agent for service 
of process for the department. A list of regis- 
tered agents may be obtained from the Office 
of Legislative and I^gal Affairs. 

(4) Te obtain a dopartmontal hoaring, tfee 
petition fof hcKuing filod with y*e OAH muot 
include a waiver b^ t^ right te a hearing con 
duct e d by tfee OAH. ¥ Ae department initi 
at*s A« contested caoe, tb« respond e nt may 
obtain a dopartmontal hoaring by filing a w'rit 
i-dvt waiver ef \^ right te aa OAH hearing with 
tlw Oi\H within 44 days al4i?f being s e ns e d 
w+tb tbe petition fof hoaring. 

m accordance \v\i\\ tbe Rules contain e d ift tbis 
Section unless another procedure is specifi e d 
fef tbe hearing i» tb© following ohaptorc. 

Statutory Authority G.S. J 43 B- 10; J50B-J1; 
I50B-22: 150B-23. 

.0206 NOTICE OF HEARING (REPEALED) 

Statutory Authority G.S. J43B-I0; I50B-JJ. 

.0208 INTERVENTION (REPEALED) 

Statutory Authority G.S. I43B-I0 (j) (2); 
I50B-I1. 

.0209 WRITTEN ANSWER (REPEALED) 

Statutory Authority G.S. 143 B- 10; I50B-JI; 
I50B-25. 

.0210 VLNLE (REPEALED) 

Statutory Authority G.S. I43B-I0 (j) (2); 
I50B-II; J50B-24. 

.02 1 1 DISCO\ ERY (REPEALED) 



493 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



Statutory Authority G.S. 143B-10 (j) (2); 
150B-II: I50B-2S. 

.0212 PRE-H FARING CONFERENCE 
(REPEALED) 

Statutory Authority G.S. 1438-10 (j) (3); 
I50B-II; I50B-33. 

.0213 SLBPOENAS (REPEALED) 

Statutory Authority G.S. 143B-10 (j) (2); 
I50B-II: I50B-27; l50B-33(2). 

.0215 STIPLLATIONS (REPEALED) 

Statutor\' Authority G.S. I43B-I0 (j) (3); 
I50B-Ii; I50B-3I. 

.0216 DISQUALIFICATION OF HEARING 
OFFICER (REPEALED) 

Statutory Authority G.S. I43B-10 (j) (3); 
I50B-32. 

.0218 OATH (REPEALED) 

Statutory Authority G.S. I43B-I0 (j) (3). 
.0219 CONDUCT OF HEARING (REPEALED) 



shall notify the parties to the contested case of 
receipt of the record and provide them an op- 
portunity to file exceptions to the decision re- 
commended by the administrative law judge 
and to present written arguments in accord- 
ance with G.S. 150B-36. 

(b) The time provided to submit arguments 
and exceptions shall be specified in the notice 
and shall be at least 15 days from the date the 
notice was mailed. 

(c) No new evidence may be included m the 
exceptions and arguments presented for con- 
sideration by the fmal decision-maker, pro- 
vided that any party may request that the fmal 
decision-maker remand the matter to the ad- 
ministrative law judge for the taking of addi- 
tional evidence for the reasons set forth in G.S. 
150B-49. 

(d) If the fmal agency decision-maker deter- 
mines that the official record of a contested 
case does not contain sufficient information on 
which to base the fmal agency decision, the 
case may be remanded to the hearing officer 
for the curing of the insufficiency. The remand 
order shall contain specific instructions as to 
how the insufficiency in the official record may 
be cured. 

Statutory Authority G.S. J43B-J0; J50B-/J; 
I50B-36: J50B-37. 



Statutor\' Authority G.S. 1 43 B- 10 (j) (I); 
I50B-II; I50B-33: I SOB- 37. 

.0220 DECISION (REPEALED) 

Statutory Authority G.S. I43B-I0 (j) (3); 
I50B-II; 150B-34: I SOB- 36. 

.0222 TRANSCRIPTS (REPEALED) 

Statutory Authority G.S. I43B-I0 (j) (3): 
/SOB-//; /SOB-37. 

.0223 CONSOLIDATION (REPEALED) 

Statutory Authority G.S. /43B-/0(j); /SOB-//; 
/SOB-26. 

.0224 FAILURE TO APPEAR (REPEALED) 

Statutory Authority G.S. /43B-/0(j); /SOB-//; 
/S0B-2S(a). 

.0225 EXCEPTIONS TO RECOMMENDED 
DECISION 

(a) Upon receipt of the official record as de- 
fined m G.S. 150B-37, the secretary or designee 



**************** 



i V otice is hereby given in accordance with G.S. 
J SOB-/ 2 that the Division of Health Services 
intends to adopt regulations cited as JO NCAC 
7 A .0/06 - .0/09; .0209 - .02/2; /O NCAC 9D 
.0/04; amend regulations cited as /O NCAC 7 A 
.040/; .040S - .0406; .0S03; 10 NCAC 7D 
.0206; /O NCAC 7E .0401 - .0403; JO NCAC 
/OA .020J; .0302; .0444; .0502; .J004; .J30/; 
.2202; and repeal regulations cited as /O NCAC 
7A .0/0/ - .0/05; .020/ - .0206; .0208; .0502. 

1 he proposed effective dale of this action is 
March /, /98S. 

1 he public hearing will be conducted at 9:00 
a.m. on December /6, /987 at Highway Build- 
ing, Auditorium (First Floor), / South 
Wilmington Street, Raleigh, North Carolina. 

K_.omment Procedures; Any person may re- 
quest information or copies of the proposed 
rules by writing or calling John P. Barklcy, 
Agency Legal Specialist, Dix'ision of Health 



NORTH CAROLINA REGISTER 



494 



PROPOSED RULES 



Sen-ices, P.O. Box 2091, Raleigh, North 
Carolina 27602-2091, (919) 733-3/34. Writ- 
ten comments on these subjects may be sent to 
Mr. Barkley at the above address. Written and 
oral (for no more than ten minutes) comments 
on these subjects may be presented at the hear- 
ing. Notice should be given to Mr. Barkley at 
least three days prior to the hearing if you de- 
sire to speak. 

CHAPTER 7 - HEALTH: EPIDEMIOLOGY 

SLBCHAPTER 7A - ACL'TE 
COMMLMCABLE DISEASE CONTROL 

SECTION .0100 - REPORTING OF 
CONLMUNICABLE DISEASES 

.0101 REPORTABLE DISEASES (REPEALED) 
.0102 METHOD OF REPORTING (REPEALED) 
.0103 PHYSICIANS TO REPORT (REPEALED) 
.0104 OTHER PERSONS TO REPORT 

(REPEALED) 
.0105 FORWARDING REPORTS (REPEALED) 

Statutor\> Authority G.S. /30.4-J34; I30A-I35; 
BOA- 1 38: I30A-I4I: 1 30 A- 147. 



.0106 



AND 



REPORTABLE DISEASES 
CONDITIONS 

The following named diseases and conditions 
are declared to be dangerous to the public 
health and are hereby made reportable within 
the time period specified after the disease or 
condition is reasonably suspected to exist: 

(1) acquired immune deficiency syndrome 
(AIDS) - 7 days; 

(2) amebiasis - 7 days; 
anthrax - 24 hours; 
blastomycosis - 7 days; 
botulism - 24 hours; 
brucellosis - 7 days; 
Campylobacter infection - 24 hours; 
chancroid - 24 hours; 

chlamydial infection (laboraton,* con- 
fumed) - 7 days; 
(10) cholera - 24 hours; 
dengue - 7 days; 
diptheria - 24 hours; 
encephalitis - 7 days; 
foodbome disease, including but not 
limited to Clostridium perfringens, 
staphylococcal, and Bacillus cereus - 24 
hours; 
(15) gonorrhea - 24 hours; 

granuloma inguinale - 24 hours; 
Hemophilus influenzae, invasive disease 
24 hours; 

hepatitis A - 24 hours; 
hepatitis B - 24 hours; 



(3) 
(4) 
(5) 
(6) 
(7) 
(8) 
(9) 



(11) 
(12) 

(13) 
(14) 



(16) 
(17) 

(18) 
(19) 



(20) hepatitis B carriage - 7 days; 

(21) hepatitis non-A, non-B - 7 days; 

(22) legionellosis - 7 days; 

(23) leprosy - 7 days; 

(24) leptospirosis - 7 days; 

(25) Lyme disease - 7 days; 

(26) lymphogranuloma venereum - 7 days; 

(27) malaria - 7 days; 

(28) measles (rubeola) - 24 hours; 

(29) meningitis, pneumococcal - 7 days; 

(30) meningitis, viral (aseptic) - 7 days; 

(31) meningococcal disease - 24 hours; 

(32) mucocutaneous lymph node syndrome 
(Kawasaki syndrome) - 7 days; 

(33) mumps - 7 days; 

(34) nongonococcal urethritis - 7 days; 

(35) plague - 24 hours; 

(36) paralytic poliomyelitis - 24 hours; 

(37) psittacosis - 7 days; 

(38) Q fever - 7 days; 

(39) rabies, human - 24 hours; 

(40) Reye's syndrome - 7 days; 

(41) Rocky Mountain spotted fever - 7 days; 

(42) rubella - 24 hours; 

(43) rubella congenital syndrome - 7 days; 

(44) salmoneUosis - 24 hours; 

(45) shigellosis - 24 hours; 

(46) syphilis - 24 hours; 

(47) tetanus - 7 days; 

(48) toxic shock syndrome - 7 days; 

(49) trichinosis - 7 days; 

(50) tuberculosis - 24 hours; 

(51) tularemia - 24 hours; 

(52) typhoid - 24 hours; 

(53) typhoid carriage (Salmonella typhi) - 7 
days; 

(54) typhus, epidemic (louse-borne) - 7 days; 

(55) w^hooping cough - 24 hours; 

(56) yellow fever - 7 days. 

Statutofj Authority G.S. 130A-I34. 

.0107 METHOD OF REPORTING 

(a) When a report of a disease or condition 
is required to be made pursuant to G.S. 
130A-135 through 139 and 10 NCAC 7A 
.0106, the report shall be made to the local 
health director as follows: 

( 1) For diseases and conditions required to 
be reported within 24 hours, the initial 
report shall be made by telephone, and 
the report required by Paragraph (2) 
ohall be made within se\'en days. 

(2) In addition to the requirements of Par- 
agraph (1), the report shall be made on 
the communicable disease report card 
provided by the Division of Health 
Services and shall include the name and 



495 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



address of the patient, the name and 
address of any minor's parent or guard- 
ian, and all other pertinent 
epidemiologic information requested on 
the form. 

(3) In addition to the requirements of Par- 
agraph (1) and (2), the epidemiologic 
information requested on a surveillance 
form pro\ided by the Division of 
Health Services shall be completed and 
submitted for the reportable diseases 
and conditions identified in 10 NCAC 
7A .0106(1), (6), (17), (18), (19), (20), 
(21), (22), (23), (24), (25), (27), (29), 
(31), (32), (36), (37), (40), (41), (43), 
(47), (48), (49), (50), (51), (52), (55). 

(4) Communicable disease report cards and 
surveillance forms are available from 
the morbidity unit, N.C. Division of 
Health Serv'ices, P.O. Box 2091, 
Raleigh, N.C. 27602, and from local 
health departments. 

(b) Notwithstanding the time frames estab- 
lished in Rule .0106, a restaurant or other food 
or drink estabUshment is required to report all 
outbreaks or suspected outbreaks of foodbome 
illness in its customers or employees and all 
suspected cases of foodbome disease or 
foodbome condition in food-handlers at the 
establishment by telephone to the local health 
department within 24 hours in accordance with 
Paragraph (a) (1). However, the establishment 
is not required to submit a report card or sur- 
veillance form pursuant to Paragraphs (a) (2) 
and (a) (3). 

(c) For the purposes of reporting by restau- 
rants and other food or drink estabhshments 
pursuant to G.S. 130A-138, the diseases and 
conditions to be reported shall be those listed 
in 10 NCAC 7A .0106 (5), (7), (10), (14), (18), 
(44), (45), (49), (52), and (53). 

Statutory Authority G.S. J30A-J35 through 
J30A-J39; 1 30 A- 141. 

.0108 DUTIES LOCAL HEALTH DIRECTOR: 
REPORT COMMLMCABLE DISEASES 

(a) L'pon receipt of a report of a 
communicable disease or condition pursuant 
to 10 NCAC 7 A .0106, the local health direc- 
tor shall: 

(1) immediately investigate the circum- 
stances surrounding the occurrence of 
the disease or condition to determine 
the authenticity of the report and the 
identity of all persons for whom control 
measures are required. This investi- 
gation shall include the collection and 



submission for laboratory examination 
of specimens necessary to assist in the 
diagnosis and indicate the duration of 
control measures; 

(2) determine what control measures have 
been given and ensure that proper con- 
trol measures as provided in 10 NCAC 
7A .0209 have been given and are being 
compUed with; 

(3) forward the report as follows: 

(A) The local health director shall for- 
ward all reports of chancroid, 
chlamydial infection, gonorrhea, 
granuloma inguinale, 
lymphogranuloma venereum, 
nongonococcal urethritis, and syphilis 
as specified in 10 NCAC 7E .0401, 

(B) Except as provided in (3) (A), a local 
health director who receives a report 
pursuant to 10 NCAC 7A .0107 re- 
garding a person residing in that juris- 
diction shall forward the authenticated 
report to the Division of Health Ser- 
vices within seven days. 

(C) Except as provided in (3) (A), a local 
health director who receives a report 
pursuant to 10 NCAC 7A .0107 re- 
garding a person who resides in another 
jurisdiction in North Carolina shall 
forward the report to the local health 
director of that jurisdiction within 24 
hours. A duphcate report card marked 
"copy" shall be forwarded to the Divi- 
sion of Health Services within seven 
days. 

(D) A local health director who receives 
a report pursuant to 10 NCAC 7A 
.0107 regarding a person who resided 
outside of North Carolina at the time 
of onset of the illness shall forward the 
report to the Division of Health Ser- 
vices within 24 hours. 

(b) Whenever a cluster of cases of a report- 
able disease or condition occurs, the local 
health director shaU investigate the cluster to 
determine if an outbreak exists. If an outbreak 
e.xists, the local health director shall submit to 
the Division of I lealth Services within 30 days 
a written report of the investigation, its 
findings, and the actions taken to control the 
outbreak and prevent a recurrence. 

(c) Whenever a cluster of cases of a disease 
or condition occurs which is not required to 
be reported by 10 NCAC 7A .0106 but which 
represents a significant threat to the public 
health, the local health director shall investi- 
gate the cluster to determine if an outbreak 
exists. If an outbreak exists, the local health 



NORTH CAROLINA REGISTER 



496 



PROPOSED RULES 



director shall give appropriate control meas- 
ures consistent with 10 NCAC 7A .0200, and 
inform the Division of Health Services of the 
circumstances of the "outbreak within seven 
days. 

Statutory Authority G.S. I30A-I4I: -144. 

.0109 RELE.VSE OF COMMUNICABLE 

DISEASE RECORDS FOR RESEARCH 
PURPOSES 

(a) A person may request, for bona fide re- 
search purposes, the release of records which 
pertain to a communicable disease or 
communicable condition and which identify 
mdi\iduiils. The request shall be in writing 
and shall contain the following information: 

(1) Name of organization requesting the 
data; 

(2) Names of principal investigators; 

(3) Name of project; 

(4) Purpose of project; 

(5) Description of the proposed use of the 
data, including protocols for contacting 
patients, relatives, and ser\'ice providers; 

(6) Descriptions of measures to protect the 
security of the data; 

(7) An assurance that the data wiU not be 
used for purposes other than those de- 
scribed in the protocol; 

(8) An assurance that the data will be 
properly disposed of upon completion 
of the project; and 

(9) .An assurance that the results of the 
project will be provided to the custo- 
dian of the records. 

(b) The request for release of the records 
sh;dl be granted or denied in writing based 
upon the following considerations; 

(1) Whether the objectives of the project 
require patient indentifying informa- 
tion; 

(2) Whether the objective of the project can 
be reached with the use of the data; 

(3) Wliether the project has a reasonable 
chance of answering a legitimate re- 
search question; 

(4) Whether the project might jeopardize 
the ability of the Epidemiology Section 
to obtain reports and information re- 
garding communicable diseases and 
communicable conditions; 

(5) Whether the patient's right to privacy 
would be adequately protected. 

Statutory Authority G.S. 1 30 A- 143 (9). 



SECTION .0200 - CONTROL MEASURES FOR 
COMMUNICABLE DISEASES 

.0201 SOURCE OF CONTROL MEASURES 

(REPEALED) 
.0202 DUTIES OF ATTENDING PHYSICIANS 

(REPEALED) 
.0203 DUTIES OF OTHER PERSONS 

(REPEALED) 
.0204 DUTIES OF LOCAL HEALTH DIRECTOR 

(REPEALED) 
.0205 DUTIES OF PATIENTS (REPEALED) 
.0206 TRAVEL AND TRANSPORT.\TION OF 

PATIENTS (REPEALED) 

Statutory Authority G.S. I30A-I44. 

.0208 H.ANDLING AND TRANSPORTATION 
OF BODIES (REPEALED) 

Statutory Authority G.S. 130A-I44. 

.0209 CONTROL MEASURES 

(a) Except as provided in Paragraph (d), the 
specific control measures for each disease and 
condition shall be those specified by the 
American Public Health Association in its 
publication, Control of Communicable Dis- 
ease in Man. Control of Communicable Dis- 
ease in Man is hereby adopted by reference in 
accordance with G.S. 1 SOB- 14(c). Copies of 
this publication are available from the Ameri- 
can Public Health Association, Department 
JE, 1015 18th Street, N.W., Washington, DC 
20036. A copy is available for inspection in 
the Communicable Disease Control Branch, 
Cooper Memorial Health Building, 225 N. 
McDowell Street, Raleigh, North Carolina 
27602. 

(b) In interpreting and implementing the 
specific control measures adopted in (a), and 
in devising control measures for communicable 
diseases and conditions for which a specific 
control measure is not pro\'ided by this Rule, 
the foUowLng principles shall be used: 

(1) control measures shall be those which 
can reasonable be expected to decrease 
the risk of transmission; 

(2) for diseases or conditions transmitted 
by the airbome route, the control 
measures shall require physical isolation 
for the duration of infectivity; 

(3) for diseases or conditions transmitted 
by the fecal-oral route, the control 
measures shall require exclusions from 
situations in which transmission can be 
reasonably expected to occur, such as 
work as a paid or voluntary' food han- 
dler or attendance or work in a day care 
center for the duration of infectivity; 



497 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



(4) for diseases or conditions transmitted 
by sexual or the blood-borne route, 
control measures shall require prohibi- 
tion of donation of blood, tissue, or- 
gans, or semen, needle-sharing, and 
sexual contact in a manner likely to re- 
sult in transmission for the duration of 
infectivity. 

(c) Persons with congenital rubella syn- 
drome, tuberculosis, and carriers of Salmonella 
typhi and hepatitis B who change residence to 
a different local health department jurisdiction 
shall notify the local health director in both 
jurisdictions. 

(d) 1 he following are the control measures 
for the Acquired Immune Deficiency Syn- 
drome (AIDS) and Human Immunodeficiency 
Virus (IIIV) infection; 

(1) Infected persons shall: 

(A) refrain from sexual intercourse unless 
condoms are used; exercise caution 
when using condoms due to possible 
condom failure; 

(B) never share needles or syringes; 

(C) not donate or sell blood, plasma, 
platelets, other blood products, semen, 
tissues, organs, or breast milk; 

(D) have a skin test for tuberculosis; 

(E) not breastfeed; 

(F) notify future sex partners of the in- 
fection; 

(G) if the time of initial infection is 
known, prepare, on a form provided by 
the division, a list of previous sex and 
needle partners who would have been 
exposed; if the date of initial infection 
is unknown, prepare, on a form pro- 
vided by the division, a list of sex and 
needle partners for the previous year; 
the infected person shall place the list 
in an envelope, seal the envelope and 
give it to the attending physician; 

(2) The attending physician shall: 

(A) give the control measures in (d) (1) 
to infected patients, in accordance with 
10 NCAC 7A .0210; 

(B) obtain the list required by (d) (1) (G) 
from the patient; the physician shall 
sign the envelope and forward it to the 
Division of Health Services; the Divi- 
sion of Health Services shall retain the 
list until the division has undertaken to 
notify the partners; the patient may 
notify the partners prior to the division 
undertaking to do so; 

(C) advise infected persons concerning 
proper clean-up of blood and other 
body fluids; 



(D) advise infected persons concerning 
the risk of perinatal transmission. 

(3) The attending physician of a child who 
is infected with HIV and who may pose 
a significant threat for transmission in 
the school or day care setting because 
of open, oozing wounds which carmot 
be adequately covered, incontinence of 
urine or feces, or behavioral abnor- 
malities such as biting shall notify the 
local health director. The local health 
director shall consuh with the attending 
physician, investigate the circumstances, 
and determine if such a risk exists. The 
local health director may consult with 
an interdisciplinary committee, which 
may include appropriate school per- 
sonnel and medical and epidemiologic 
experts, to assist in the investigation 
and determination of risk. If a signif- 
icant risk of transmission exists, the lo- 
cal health director shall notify the 
parents of the need for an alternate 
child care or educational setting and re- 
quire that the school principal be noti- 
fied accordingly. WTien an alternate 
educational setting is required, the local 
health director shall detennine if school 
personnel directly involved with the 
child need to be notified of the HIV 
inlection in order to prevent trans- 
mission. The local health director shall 
determine which school personnel shall 
be notified and shall ensure that these 
persons are instructed regarding the ne- 
cessity for protecting confidentiality. 

(4) When health care workers or other 
persons have had a significant nonsex- 
ual exposure to blood or body fluids, 
the following shall apply: 

(A) When the source is known to be 
HIV-infected, the exposed person shall 
be notified of the source's HIV in- 
fection, given control measures and of- 
fered testing for HIV infection as soon 
as possible after exposure and at rea- 
sonable intervals up to one year to de- 
termine whether transmission occurred 
or not. All persons so notified shall be 
instructed regarding the necessity for 
protecting confidentiality. 

(B) When the source is known and is in 
a high prevalence group, but 
HIV-infection status is unknown, the 
exposure shall be discussed with the 
source and permission requested for 
testing for HIV infection. If permission 
is granted and the test is positive for 



NORTH CAROLINA REGISTER 



498 



PROPOSED RULES 



HIV infection, the exposed person shall 
be notified as provided in (4) (A). 
Control measures shall be given to the 
exposed person and testing shall be of- 
fered as provided in (4) (A). 
(C) When the source is unknown or 
when the infection status of a known 
source has not been determined, the 
exposed person shall be given control 
measures and offered testing as in (4) 
(A). 

(5) The attending physician shall notify the 
local health director when the physi- 
cian, in good faith, has reasonable cause 
to suspect a patient infected with HIV 
is not following or cannot follow con- 
trol measures and is thereby causing a 
significant risk of transmission. 

(6) When the local health director is noti- 
fied pursuant to Paragraph (5) of a 
person who is mentally ill or mentally 
retarded, the local health director shall 
confer with the attending mental health 
physician or appropriate mental health 
authority to develop an appropriate 
plan to prevent transmission. 

(7) The Director of Health Services of the 
North Carolina Department of Cor- 
rections shall be notitied by the attend- 
ing physician of an HIV-infected person 
contined in a state prison. If the Di- 
rector of Health Services determines 
that a confined HIV-infected person is 
not following or cannot follow pre- 
scribed control measures, thereby pre- 
senting a significant risk of HIV 
transmission, the director shall develop 
and implement jointly \\ith the appro- 
priate pnson facility administrator a 
plan to prevent transmission. 

(8) The local health director shall ensure 
that the health plan for local jails in- 
clude education of jail staff and prison- 
ers about HIV, how it is transmitted, 
and how to avoid acquiring or trans- 
mitting this infection. 

(9) Health care workers, including emer- 
gency responders, shall follow blood 
and body fluid precautions with all pa- 
tients. 

(10) These control measures do not require 
restrictions in the workplace of persons 
with HIV infection except that health 
care workers with HIV infection who 
have secondary infections or open skin 
lesions which would place patients at 
risk shall not provide direct patient care. 



(11) All equipment used to puncture hu- 
man skin (in medical or other settings) 
must be disposed of in accordance with 
G.S. 90-1 13. 4A after use or sterilized 
prior to reuse. 

(12) Local health departments that provide 
testing for HIV infection shall offer 
anonymous testing with individual pre- 
and post-test counseling. Counseling 
shall include risk assessment, risk re- 
duction guidelines, appropriate test re- 
sult interpretation, and, when the 
person tested is determined to be in- 
fected with HIV, control measures. 

(e) Notwithstanding the provisions of 10 
NCAC 7A .0209 (d), when a person with HIV 
infection is enroUed in a study of the efficacy 
of alternative methods of notifying past sexual 
and needle partners, such notification shall be 
made in accordance with the study protocol if; 

(1) the study protocol is approved by the 
State Health Director; and 

(2) the person with HIV infection fully 
participates in and completes the study. 

Statutory Authority G.S. I30A-144. 

.0210 DUTIES OF .ATTENDING PHYSICI.ANS 

Immediately upon making a diagnosis of or 
reasonably suspecting a communicable disease 
or communicable condition for which control 
measures are provided in Rule .0209, the at- 
tending physician shall instruct the patient and 
any other person specified in those control 
measures to carry out those control measures, 
shall give sufficiently detailed instructions for 
proper compliance, or shall request the local 
health director to give such instruction. When 
making the initial telephone report for diseases 
and conditions required to be reported within 
24 hours, the physician shall inform the local 
health director of the control measures given. 

Statutory Authority G.S. I30A-I44. 

.021 1 DUTIES OF OTHER PERSONS 

(a) Tfie local health director may reveal the 
identity and diagnosis of a person with a re- 
portable communicable disease or 
communicable condition or other 
communicable disease or communicable con- 
dition wliich represents a significant threat to 
the public health to those persons specified in 
Paragraph (b) when disclosure is necessan,' to 
prevent transmission in the facility or estab- 
lishment for which they are responsible. The 
local health director shall ensure that all per- 



499 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



sons so notified are instructed regarding the 
necessity for protecting confidentiality. 

(b) The following persons shall require that 
any person about whom they are notified pur- 
suant to Paragraph (a) comply with control 
measures given by the local health director to 
prevent transmission in the facility or estab- 
lishment: 

(1) the principal of any private or public 
school; 

(2) employers; 

(3) superintendents or directors of all public 
or private institutions, hospitals, or 
jails; and 

(4) operators of a child day care center. 

(c) Ihe provisions of Paragraphs (a) and (b) 
shall not apply with regard to gonorrhea, 
syphilis, chancroid, granuloma inguinale, 
lymphogranuloma venereum, chlamydia, non- 
gonococcal urethritis, AIDS, and HIV in- 
fection. However, persons may be notified 
with regard to these diseases and conditions in 
accordance with 10 NCAC 7A .0209. 

Statutory Authority G.S. I30A-I43. -144. 

.0212 HANDLING AND TRANSPORTATION 
OK BODIES 

(a) It shall be the duty of the physician at- 
tending any fatal case of smallpo.x. plague, 
AIDS, hepatitis B, rabies, or Jakob-Creutzfeldt 
disease to provide written notification to all 
individuals handling such body of the proper 
precautions to prevent infection resulting from 
handling of the body. These precautions are 
noted in (b) and (c) below. 

(b) The body of a person who died from 
smallpox or plague shall not be embalmed. 
The body shall be enclosed in a strong, tightly 
sealed outer case which will prevent leakage 
or escape of odors as soon as possible after 
death and before the body is removed from the 
hospital room, home, building, or other 
premises where the death occurred. This case 
shall not be reopened except with the consent 
of the local health director. 

(c) Persons handling bodies of persons who 
died with AIDS, hepatitis B, Jakob-Cruetzfeldt 
disease, or rabies shall be provided written no- 
tification to observe blood and body fluid 
precautions. 

Statutory Authority G.S. /30A-/44, -146. 

SFXTION .0400 - IMMLNIZATION 

.0401 DOSAGE AND AGE REQUIREMENTS 
FOR IMMLNIZATION 



(a) Ever>' child individual in North Carolina 
required to be immunized pursuant to G.S. 
130A-152 through BOA- 157 shaU be 
immunized against the following diseases by 
receiving the specified minimum doses of vac- 
cines by the specified ages: 



(1) 



diphtheria, tetanus, and whooping 
cough -- five doses: three doses by age 
one year and two booster doses, one in 
the second year of life and the second 
on or after the fourth birthday and be- 
fore enrolling in school (K-1) for the 
first time; 



(2) 



oral pohomyelitis vaccine- -three doses 
of trivalent type by age two years and a 
booster dose of trivalent type on or af- 
ter the fourth birthday and before en- 
rolhng in school (K-1) for the first time; 
or one dose of each of the three 
monovalent types by age two years and 
a dose of trivalent type after the fourth 
birthday and before enrolling in school 
(K-1) for the first time; 

(3) measles (rubeola) vaccine -- one dose 
of live, attenuated vaccine by age two 
years; 

(4) rubella vaccine -- one dose of hve, at- 
tenuated vaccine by age two years; 

(5) mumps vaccine--one dose of live atten- 
uated vaccine by age two years. 

(b) Notwithstanding the requirements of 
Paragraph (a) of this Regulation: 

( 1 ) A child An individual who has attained 

his or her seventh birthday without 
having been immunized against 
whooping cough shall not be required 
to be immunized with a vaccine prepa- 
ration containing whooping cough 
antigen; 

(2) A child An individual who has been 
documented by serologic testing to have 
a protective antibody titer against 
rubella shall not be required to receive 
rubella vaccine; 

A child An individual who has been di- 
agnosed by a physician hcensed to 
practice medicine as having measles 
(rubeola) disease shall not be required 
to receive measles vaccine; 
An individual attending school who has 
attained his or her 18th birthday shall 
not be required to receive oral poho 
vaccine; afi4 
(5) Aft individual attending school who has 
attained h» ef hw ^04* birthday shall 
aet b© required te- rocoivo measl e s »f 
rub e lla vaccin e . An individual bom 
prior to 1957 shall not be required to 



(3) 



(4) 



NORTH CAROLINA REGISTER 



500 



PROPOSED RULES 



(6) 



IZi 



receive measles vaccine. An individual 
uho has attained his or her fiftieth 
birthda\ shall not be required to receive 
rubella \'accine. An individual who 
entered a college or university after his 
or her thirtieth birthday and before 
l-'ebruarv' _K 1988 shall not be required 
to meet the requirement for rubella 
\accine. 

1 he requirements for mumps vaccine, 
and for booster doses of diphtheria, 
tetanus, and whooping cough vaccine 
and oral poliomyelitis vaccine, shall not 
apply to cliildr e n individuals who en- 
rolled for the first time in the first grade 
before July 1, 1987. Children Vr4*e- Fe- 
CL'ivL ' A«* frftrt- buor . tur do&o »f 
diphtliL ' riu, tetunuo, »fi4 whooping 
cough ' l uccina eft ef aftef Ae fourth 
birthday C f hall Het- h^ roquirud te hu' i O 
a i . econd boo^ . t e r dos e . 
Individuals who receive the first booster 
dose of diphtheria, tetanus, and 
whooping cough vaccine on or after the 
fourth birthdav shall not be required to 
have a second booster dose. Individ- 
uals who receive the third dose of oral 
poliomyelitis \accine on or after the 
fourth birthda\ shall not be required to 
receive a fourth dose. 



(S) Indi\iduals attending a college or uni- 
versity shall be required to have only 
two doses of diphtheria-tetanus toxoid 
of which one must have been vsithin the 
last ten \ears. 

Statutory Authority G.S. I30A-I52(c), -155.1. 

.0405 MKDICAL EXEMPTIONS FROM 
IMMLMZATION 

A physician licensed te practice medicine tft 
A<* state may exempt a child from a»¥ »f aW 
requirements »f W) NdVC +A t«-W-1- if; eft *e 
basis ef sound medical judgment, 
immunij'.ution i* ef may W detnmental te the 
child's health, te t+w e vent ef such a» e*t- 
emption, tfee physician shall stat e ift wnting 
Certification of a medicsJ exemption by a 
physician pursuant to G.S. 130A-156 shall be 
in writing and shall state the basis of the ex- 
emption, the specific \accine or vaccines the 
child indi\idual should not receive, and the 
length of tune the exemption will apply for the 
child individual. 

.Statutory Authority G.S. 130A-I52(c), -156. 

.0406 EXEMPTION FOR CLINICAL STL DIES 



A child An individual enrolled in a clinical 
trial of the efficacy of a new vaccine prepara- 
tion or dosage schedule shall be exempted 
from those requirements of 10 NCAC 7A 
.0401 and .0402 which conflict with the trial 
protocol. This exemption shall only apply to 
children individuals who: 

(1) participate m a clinical trial whose pro- 
tocol is approved by the State Health Di- 
rector, and 

(2) fully participate in and complete the 
clinical trial. 

Statutory Authority G.S. 1 30A- 152(c). 

SECTION .0500 - PURCHASE AND 
DISTRIBUTION OF VACCINE 

.0502 DISTRIBUTION OF VACCINE 
(REPEALED) 

Authority S.L. 1986. c. JOOS, s. 2. 

.0503 VACCINE FOR MEDICALLY INDIGENT 
P.ATIENTS 

(b) Private physicians and health care pro- 
viders shall be eligible to receive free vaccines 
from the department only if they annually sign 
an agreement with a local health department 
ser\ing their practice area. This agreement wiU 
be prepared by the Immunization Program 
and will require the physicians and health care 
providers to administer such vaccines only to 
eligible patients, to submit monthly vaccine 
reports on a form prepared by the 
Immunization Program by the fifth day of 
each month, to report adverse vaccine re- 
actions through the Federal Monitoring Sys- 
tem for Adverse Events Following 
Immunization (MSAEFI), to obtain a signed 
Important Information Statement for each 
dose of vaccine administered and to retain the 
signed portion for a period of ten years fol- 
lowing the end of the calendar year in which 
the form was signed, or for ten years following 
the recipient's age of majority, whichever is 
longer, and upon request, furnish copies of the 
signed portion to the above health department 
or the Centers for Disease Control, Depart- 
ment of Health and Human Services, to keep 
a record of the vaccine manufacturer, lot 
number, and date of administration for each 
dose of \accine administered, to allow periodic 
inspection of their vaccine supplies and records 
by the Immunization Program, and to comply 
with the rules of this Section. 



Authority S.L. I9S6. C. 
J30A-/52. 



JOOS. s. 2; G.S. 



501 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



SLBCHAPTKR 7D - TUBERCULOSIS 
CONTROL 

SECTION .0200 - REPORTING OF 
TUBERCULOSIS CASES 

.0206 LABORATORY REPORTS 

(a) North Carolina laboratories shall report 
positive tuberculosis test information as re- 
quired by G.S. 130A-139 within seven days 
after recognition. These reports shall be made 
on the Laborator>' Report of Positive AFB 
(Smear) or Mycobacterium Tuberculosis Cul- 
ture Form. This form is available from and 
must be submitted to the head, Tuberculosis 
Control Branch, P.O. Box 2091, Raleigh, N.C. 
27602. 

Statutory Authority G.S. I30A-I39, -141. 

SUBCHAPTER 7E - VENEREAL DISEASE 
CONTROL 

SECTION .0400 - REPORTING 

.0401 CASE REPORTS 

(a) The local health department shall 
promptly report all cases of venereal disease in 
accordance with this Section. 

(b) Case reports of early syphilis (primary, 
secondan', and early latent under one year's 
duration) shaU be reported by telephone to the 
V.D. S.T.D. branch regional office. The 
V.D. S. l.D. branch regional supervisor shall 
complete and forward the communicable dis- 
ease report card, DHS Form No. 2124 (fe^ 
44,09) to the Raleigh office. 

(c) Case reports of latent and late syphilis 
shaU be forwarded to the V.D. S.T.D. branch 
regional office on a weekly basis by means of 
the communicable disease report card, DHS 
Form No. 2124. (f«vr 11 . 79). 

(d) Case reports for publicly treated cases of 
gonorrhea, nongonococcal urethritis and labo- 
ratory confirmed chlam\dial infection ouL i cu 
shall be made on DHS Form No. 1508 and 
forwarded to the V.D. S.T.D. branch regional 
office at least weekly. Privately treated cases 
shall be reported by means of the 
communicable disease report card, DHS Form 
2124. 

f») Cas t* reports fof privutoly troatod 
g onorrhoa cases shall b» mad e eft DHS Form 
N^ ^4^ (fe¥T 11/79), aft4 ehaU be mailod 
wooldy t» the V.D. branch r e gional offico. 

(f> (ej Reports for nonspocifio ur e thritis pub- 
licly or privately treated chancroid, granuloma 
inguinale, and lymphogranuloma venereum 



cases shall be made on DHS Form No. 2124 
(rev. 11/79), and mailed weekly to the V.D. 
S.T.D. branch regional office. 

Statutory Authority G.S. I30A-I4I, -160. 

.0402 PRIVATE LABORATORY REPORT 

(a) DHS Form No. 1393 (Laboratory Re- 
port of Reactive Tests for Syphilis) shall be 
submitted on the first and fifteenth of each 
month to the local health department by all 
laboratories in North Carolina performing 
serologic or other tests for syphilis. The local 
health department shall immediately notify the 
V.D. S.T.D. branch regional office of the 
following priority reactors so that 
epidemiologic follow-up can begin: 

(1) All prenatal serologics regardless of age, 
titer, or previous record of treatment; 

(2) /Vll reactive serologies on persons 
twenty-five years of age and under and 
with no record of previous treatment; 

(3) All reactive serologies of 1:8 dilutions 
or greater on persons twenty-five to fifty 
years of age and no record of previous 
treatment; 

(4) All reactive serologies with no age 
stated. 

(b) It is the responsibility of local health de- 
partments to follow all persons with reactive 
serologies not included in (a) of this Rule and 
to report the results to the V^ft- S.T.D. 
branch regional office. 

(c) All positive darkfield examinations for 
syphilis shall be reported immediately by tele- 
phone to the Division of Health Services. 

(d) Reports of urethral smears for Gram- 
negative intracellular diplococci or any culture 
positive for Neisseria gonorrhoeae shall be 
submitted to the division on the first and fif- 
teenth of each month and include the follow- 
ing information: 

( 1) Patient s name, age, 



race, and sex. 



(2) Submitting physician's name, address, 
telephone number and the date the 
specimen was collected. Computer 
printouts containing the above infor- 
mation are acceptable. 

Statutory Authority G.S. I30A-139, -141. -160. 

.0403 SCREENING REPORT 

local health departments that participate in 
the gonorrhea culture screening program shall 
submit DHS Form No. 2572 (rev. 3/79) to the 
V.D. S.T.D. branch regional office. 

Statutory Authority G.S. 1 30 A- 160. 



NORTH CAROLINA REGISTER 



502 



PROPOSED RULES 



CHAPTER 9 - HEALTH: LABORATORY 

SLIBCHAPLER 9D - CERTH ICATION AND 
IMPROXEMENT 

SI C HON .01(10 - I ABORAIORY 
CERin l( ATION 

.0104 CERTIFICATION FOR LABOR.UORIES 
CONDI CIING Hl\ TESTING 

(a) Laboratories conducting HIV serologic 
testing shall be certified in accordance with this 
Rule. The requirements for certification are 
as follows: 

( 1 ) All laboratories, except the State Public 
Health Laborator\\ shall be licensed 
under the Clinical Laboratory Im- 
provement Act (CLI.'\), accredited by 
the College of American Pathologists 
(CAP I, .Vmerican Association of Blood 
Banks (.-VABB), or the Joint Commis- 
sion on the Accreditation of Hospitals 
(JCAII), certified by the Health Care 
Financing Administration (HCFA) for 
Medicare or .Medicaid, or accredited by 
a comparable program approved by the 
Director, State Public Health Labora- 
tors'. 

(2) I aboratories shall participate in a peri- 
odic proficiency testing program oper- 
ated jointl) by .V.ABB and CAP or in 
a comparable periodic proficiency test- 
ing progrsim with comparable standards 
of acceptable performance approved by 
the Director, State Public Health Lab- 
oratoPv". Laboratories shall demon- 
strate an acceptable level of proficiency 
according to the standards of the testing 
program. 

(3) HIV antibody screening test results shall 
not be issued as final until all initially 
reactive tests ha\e been repeated at least 
once, and all repeatedly reactive tests 
have been confirmed by the Western 
Blot method or a method approved by 
the Director, State Public Health Lab- 
orators'. The results of both screening 
and confirmatoPv' tests shall be trans- 
mitted to the ordering physician. 

(4) Laboratories shall perform HIV 
serologic tests only on specimens sub- 
mitted by a physician licensed to prac- 
tice medicine. 

(b) /\n application for certification shall be 
submitted to the Depailment of Human Re- 
sources listing the name and location of the 
laboratory' requesting certification, the name 
of the laboratory' director, and e\'idence that 



the laboratory meets the requirements listed in 
Paragraph (a). I aboratories will be notified in 
writing within 45 days of the receipt of the 
apphcation that they have been certified or, if 
certification has been denied, of the reasons for 
denial. 

(c) Certification must be renewed when li- 
censing, accreditation or certification renewal 
is required by the program that has accredited 
the laboratory pursuant to Paragraph (a). If a 
laboratory's license, accreditation or certil- 
ication from one of these programs is sus- 
pended or revoked, the laboratory director 
shall immediately notify the department and 
the laboratory's certification under this Rule 
shall be revoked in accordance with G.S. 
130A-23. Certification may otherwise be sus- 
pended or re\oked in accordance with G.S. 
130A-23 for violation of this Rule or for re- 
peatedly issuing erroneous test results. The 
laboratory may apply for recertification when 
it can provide evidence that it meets the re- 
quirements listed in Paragraph (a)-(c). 

(d) Appeals concerning the interpretation 
and enforcem.ent of this Rule shall be made in 
accordance with G.S. 150B. 

(e) Laboratories conducting HIV serologic 
testing may be certified under this Rule upon 
the Rule's effective date. However, these lab- 
oratories are not required to be certified until 
July 1, 1988. 

Statutory^ Authority G.S. I30A-I48(a}. 

CILVPTER 10 - HEALTH SERMCES: 
ENVIRONMENTAL HEALTH 

SI BCHAPIER lOA - S.\NITATION 

SECTION .0200 -SANIT.VTION OF 
RESIDENTIAL CARE FACILITIES 

.0201 DEFINITIONS 

The following defmitions shall apply 
throughout this Section: 

( 1 ) "Rooidontiul eafe fuoility" moans a» »*- 
tablichmont. includmg » family fo - jt e r 
homL * . providing food tt«4 lodging facili 
ti«i eft » 34 hour basif . fof »»*■ more than 
44 reoidontf . . cxcluf f iv e »f r . taff, b«t- ohaU 
Be+ mean a private * hom e ef » bQiirding 
Bf rooming houL i n?. "Residential care fa- 
cilit . '' means an establishment pro\'iding 
room or board and for which a license or 
certificate of paNment must be obtained 
from the Department of Human Re- 
sources. However^ the tenn shall not in- 



clude 



child dav care facilitv or an 



50i 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



institution as defined in J_0 NCAC lOA 

.1300. 



Statutory Authority G.S. I30A-235. 

SECTION .0300 - SANITATION OF LODGING 
PLACES 

.0302 PERMITS 

(d) Violation ef any- &f thtT . e rulos chall b» 
outTiciunt oaun e fef rovoldng the pormit. Re- 
ooipt »f » sanitation rating ef fes* than W fH*f- 
CL ' nt , »f Grade Gr shall make revocation ef 
pennit mandator/. rM» pormit te oporato shall 
fee roiosuod until tfee ootabliohni e nt kas boon 
roinopocted hf a roprosontatis e »f Ae Depart 
mont ©f Human Rof . ouroos aft4 found t» 
comply wrtfe thor . e rules. A permit shall be 
immediately revoked in accordance with G.S. 
BOA- 23(d) for failure of the facihtv to main- 
tain a mmimum grade of Q A permit may 



othensise be suspended or revoked in accord- 
ance with 130A-23. A new permit to operate 
shall be issued only after the establishment has 
been resurveyed by a sanitarian and found to 
comply with this Section. Ihis resun,'ev will 
be conducted within a reasonable length of 
time after the request is made by the operator. 

Statuiorv Authoritv G.S. B0A-24S. 



SECTION .0400 - SANIT.UION OF 

RESTAURANTS AND OTHER 

FOODIIANDLING ESTABLISHMENTS 

.0444 PERMITS 

(e) A permit shall be immediately revoked in 
accordance with Cj.S. 130A-23(d) for failure of 
the facility to maintain a minimum grade of 
C. A permit may otherwise be suspended or 
revoked in accordance with 130.A.-23. A pw^ 
Fftit- shall fe>e revoked fo* failure »f tl» facility 
to maintain a minimum grad e ef G7 aft4 a 
pormit fHav be revoked f&f failure te- comply 

IT n t V^ t t-> . t .- •■ 4 t~> .-n- «-> g- ."H ■ -t L- «."»»-> .- 1 -V T * 1-1 ^ J-l t 1 . 1 .^ lllii^lC^ r~, «-> 

tTTTTT lll\J W 1 1 l\Jl y.'l\J ^ l Jl \JllJ KJx \.ll.\. I LI 1 ^,' J TTTTCTC CTTT 

imminent health hazard may exist. j>^ A new 
permit to operate shall be reissued until issued 
only after the establishment has been resur- 
veyed by a sanitarian and found to comply 
with this Section. This resurvey will be con- 
ducted within a reasonable length of time after 
the request is made by the operator. 



(e) A pormit shall fee revoked fof failure te 
maintain a minimum grade ef G7 aft4 a permit 
f»ay fe» revoked fof failure to comply wkfe A© 
other provisions ef tfe» rules whoro aft immi 
nont health hoaard may exist. Ne pormit to 
operate shall fee reicouod until (fee e stablish 
ment fea* boon roinspootod fey a r e presentative 
ef tfee Dopartment »f Human P^esources aft4 
found to comply with those Ruloo. A permit 
shall be immediately revoked in accordance 
with aS_ 130A-23(d) for failure of tjie facility 
to maintain a minimum grade of C. A permit 
may otherwise be suspended or revoked in ac- 
cordance with 130A-23. A new permit to op- 
erate shall be issued only after the 
establishment has been surveyed by a sanita- 
rian and found to comply with this Section. 
This resurvey wiU be conducted within a rea- 
sonable length of time after the request is made 
by the operator. 

Statutory Authority G.S. I30A-228. 

SECTION .1000 - SANITATION OF SUMMER 
CAMPS 

.1004 PERMITS 

(c) Violation »f tfe» Section shall fee suffici e nt 
cause fof revoking tfee permit. P>.eceipt ef a 
sanitation rating e+' less than -TO percent, ef 
Grad e Gr shall malce revocation »f pormit 
mandatory . rve- permit to operate shall fee re- 
issued until the summer oamp has boon rein 
speot e d fey a sanitarian aft4 found to comply 
with tfei* S e ction. A permit shall be imme- 
diately revoked in accordance with G.S. 
130A-23(d) for failure of the facility to main- 
tain a minimum grade of Q A permit may 
otherwise be suspended or revoked in accord- 
ance with 130A-23. A new permit to operate 
shaU be issued only after the establishment has 
been surveyed bv a sanitarian and found to 
comply with this Section. This resur\'ey will 
be conducted withm a reasonable length of 
time after the request is made by the operator. 

Statutory Authority G.S. 130A-248. 

SECTION .1300 - SANITATION OF 
HOSPITALS: NURSING AND REST HOMES: 

SANITARIUMS: SANATORIUMS: 
EDUCATIONAL AND OTHER INSTITUTIONS 



Statutory Authority G.S. I30A-248. 

SECTION .0500 - SANITATION OF MEAT 
MARKETS 

.0502 PERMITS 



.1301 DEFINITIONS 

The following definitions shall apply 
throughout this Section in the interpretation 
and enforcement of this Section: 

(1) "Institution" includes the following aft4 
similar establishments providing room or 



NORTH CAROLINA REGISTER 



504 



PROPOSED RULES 



board and for which a hcense or certificate 
of payment must be obtained from the 
Department of Human Resources, other 
than those operated exclusively by the 
State of North Carolina: 

(a) hospital, as defmed in G.S. 130 170 
13IF.-76 including doctors' chnic with 
food preparation facilities; 

(b) nursing home, as defmed in G.S. 
IJO 0(j')(2); 131E-101; 

(c) sanitarium, sanatorium, and any similar 
estabUshment, other than hospital and 
nursing home, for the recuperation and 
treatment of 13 or more persons suffer- 
ing from physical or mental disorders; 

(d) rest home, pro\iding custodial care on 
a 24-hour basis for 13 or more persons, 
including homes for the aged; 

(e) orphanage, children's home or any sim- 
ilar estabhshment providing care on a 
24-hour basis for 13 or more children; 

(f) educational institution, providmg dor- 
mitor\' or similar living quarters and 
meals in whole or in part to students, 
faculty, or others in attendance, includ- 
ing boarding schools and colleges; 

fg^ rcr i idL ' ntial t«fe facility, as defined vpt A<» 
Sanitutio ft ««4 Other A ' jpect ' j »f R e si 
dentiul Gi*w hucilitier . . -W > . CAC 44^ 
.1)200. 
However, the term shall not include a child 
day care facility or a residential care facility 
as defmed in 10 NCAC lOA .0200. 



Statuioiy Authority G.S. 1 30 A- 235. 

SECTION .2200 - SAM lA HON OF BED AND 
UREAKFAST HOMES 

.2202 PERMITS 

(e) A permit > : . hal] W re' i oked when a rKinitu 
t+»» score »f li**s than 70 percent »f 1<*** than 
Grade G i<» received, e* a ' ■■ iolation trf a«y ef 
Ae rukv i trf t+tis Section oKists ' ■ ' ■ 'hich causeo a» 
imminent hui'.ard. ^V» ftew permit te- operate 

veyed V>y a sanitarian afni found te- comply 
with A» Section. This ; iup .e y w+H- be con 
ducted within a reasonable l e ngth »f time after 
the request » made by t+i# homo. A permit 
shall be immediately revoked in accordance 
with Cj.S. 130A-23(d) for failure of the facil ity 
to maintain a minimum grade of Q A permit 
may otherwise be suspended or re\'okcd in ac- 
cordance with 130A-23. A new pennit to op- 
erate shall be issued only after the 
establishment has been surveyed by a sanita- 
rian and found to comph' with this Section. 



This resurvey will be conducted within a rea- 
sonable length of time after the request is made 
by the operator. 

Statutory Authority G.S. J30A-250. 

**************** 



1\ otice is hereby given in accordance with G.S. 
I SOB- 1 2 that the Division of Health Services 
intends to amend regulations cited as 10 NCAC 
8A .1102 and .1/03. 

J he proposed effective date of this action is 
April I, 1988. 

1 he public hearing will be conducted at 1:30 
p.m. on December 22, 1987 at Cooper Memo- 
rial Health Building, Sixth Floor Board Room, 
225 N. McDowell Street, Raleigh, North Caro- 
lina. 

y^omment Procedures: Any person may re- 
quest information or copies of the proposed 
rules by writing or calling John P. Barkley, 
Agency Legal Specialist. Division of Health 
Semces, P.O. Box 2091. Raleigh, North Caro- 
lina 27602-2091, (919) 733-3131. Written 
comments on these subjects may be sent to Mr. 
Barkley at the above address. Written and oral 
(for no more than ten minutes) comments on 
these subjects may be presented at the hearing. 
Notice should be given to Mr. Barkley at least 
three days prior to the hearing if you desire to 
speak. 

CHAPTER 8 - HEALTH: PERSONAL HEALTH 

SUBCHAPTER 8A - CHRONIC DISEASE 

SECTION .1 100 - MEDICATION ASSISTANCE 
PROGRAM FOR THE DISABLED 

.1102 CLIENT ELIGIBILITY 

(a) To be eligible for fmancial assistance 
from the \IAPD, a person shall: 

(3) Not have an average gross monthly in- 
come in excess of eight hundred aft4 
oovonty five dollars ($875.00); nine 
hundred and sc\'entcen dollars 
(f917.00); 



Authority: S.L. 1985, 
1987, c. 738, s. 91. 



c. 791, s. 19(a); S.L. 



.1 103 FINANCIAL ASSIST.ANCE PAYMENTS 



505 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



/ K 1 rr.-..- tK^ i\w-c-i t-i V w-r\ r-xntX^f j-i f TT \^ tf ^ Q^ / lull r 
\\Jj T^T^T IT ^J 1 LI iJT ctI^T TT^^T^^T^^W ^^T 1 1 \J ~j \J\j \J\Xi.T 

4t 44>^ through Dgcombor ^4^ 1985), p e rsons 
eligibl e fof bonorits wili receive a» amount 
vshich » equal te Ae ostimatod monthly mod 
ication ee** »f forty dollaro ($10.00) pef 
month, whichever » lessr In the absence of a 
physician's verification of the medication pre- 
scribed, the program will pay a benefit of no 
more than one hundred dollars ($100.00) per 
month to eligible persons. In order to receive 
a benefit of more than one hundred dollars 
($100.00) per month, a physician's verification 
must be provided to the program. 

(«| At t4ie beginning »f the second si* 
months ef 4^ 85 86 (January ^r 4^^^ through 
Juno ^ l'^86), a review »f the eligibility »f 
poroono receiving bonofits wiii be mado aft4 tfee 
benefit formula modified ae may be requir e d 
to onsuro pavmonto t» ati ehgiblo chento 
through J^fie iOy 4484r 



Authority: S.L. J 985, 
1987, c. 738, s. 91. 



c. 791, s. 19(a); S.L. 



•k'k-k-k'k-k-k'k'k-k-k'kic-k'k-k 



lyotice is hereby given in accordance with G.S. 
1 508- 12 that the Division of .Medical Assistance 
intends to amend the regulation cited as 10 
NCAC 26 D .0012 and adopt the regulation 
cited as 10 NCAC 26G .0107. 

J he proposed effectr\'e date of this action is 
April I, 1988. 

1 he public hearing will be conducted at 1:30 
p.m. on December 16, 1987 at North Carolina 
Division of Medical Assistance, 1985 Umstead 
Drive, Room 201, Raleigh, NC 27603. 

y^omment Procedures: Written comments 
concerning this amendment must be submitted 
by December 16, 1987 to: Director, Division of 
Medical Assistance, 1985 Umstead Dri\'e, Ra- 
leigh, NC 27603. Oral comments may be pre- 
sented at the hearing. In addition, a fiscal 
impact statement on these rules are available 
upon written request from the same address. 

CHAPTER 26 - MEDICAL SERVICES 

SUBCHAPTER 26D - LIIVIITATIONS ON 
AMOLNT: DLRATION: AND SCOPE 

.0012 TIME LIMITATION 

(a) To receive payment, claims must be filed: 



(1) Within 365 days of the fifst date of ser- 
vice for services other than inpatient 
hospital, home health or nursing home 
services; 

(2) Within 365 days of the date of discharge 
for inpatient hospital services and the 
last date of service in the month for 
home health and nursing home services 
Bf not to exceed the limitations as spe- 
cified in 42 C.F.R. 447.45; 

(3) Within 9© J80 days of the Medicare or 
other third party payor. 

(b) Providers must file adjustments no later 
than +80 day* \% months after date of payment 
or adjustments will not be made. 

Authority G.S. l08A-25(b); 42 C.F.R. 447.45. 

SUBCHAPTER 26G - PROGRAM INTEGRITY 

SECTION .0100 - GENERAL 

.0107 RECORD RETENTION 

All Title XIX providers shall keep and main- 
tain all Medicaid fmancial, medical, or other 
records necessar>' to fuUy disclose the nature 
and extent of services furnished to Medicaid 
recipients and claimed for reimbursement. 
These records shall be retained for a period of 
not less than five years from the date of service, 
unless a longer retention period is required by 
applicable federal or state law, regulations or 
agreements. 

Authority G.S. 108A-25(b); 108A-54; 
108A-63; W8A-64; 42 CFR Part 455. 

TITLE 15 DEPARTMENT OF NATURAL 

RESOURCES AND COMMUNITY 

DEVELOPMENT 

lyotice is hereby given in accordance with G.S. 
150B-12 that the Environmental Management 
Commission intends to amend regulation cited 
as 15 NCAC 2B .0311. 



Th 



he proposed effective date of this action is 
June 1, 1988. 

1 he public hearing will be conducted at 7:30 
p.m. on December 16, 1987 at Carrboro Town 
Hall, Town of Canboro. 301 West Main Street, 
Carrboro, North Carolina. 

K^omment Procedures: All persons interested 
in this matter are invited to attend. Comments, 
statements, data, and other information may be 



NORTH CAROLINA REGISTER 



506 



PROPOSED RULES 



submitted in writing prior to, during, or within 
thirty (30) days after the hearing or may be 
presented orally at the hearing. Oral statements 
may be limited at the discretion of the hearing 
officer. Submittal of written copies of oral 
statements is encouraged. 

CHAPTER 2 - ENMRONMENTAL 
MANAGEMENT 

SLBCHAPTER 2B - SL RFACE WATER 
STANDARDS: MONITORING 

SECTION .0300 - ASSIGNMENT OF STREAM 
CLASSIFICATIONS 

.031 1 CAPE FEAR RIN ER BASIN 

(b) The Cape Fear Ri%er Basin Schedule of 
Classification and Water Quality Standards 
was amended effective; 

(1) March 1, 1977; 

(2) December 13, 1979; 
December 14, 1980; 
August 9, 19S1; 
April 1, 1982; 
December 1, 1983; 



(3) 
(4) 
(3) 
(6) 
(7) January- 1. 1985; 



(8) 

(9) 

(10) 

(11) 

(12) 



Au2ust 1. 1985; 
December 1, 1985; 
FebruarA- 1, 1986; 
Julv 1, 19S7; 
October 1, 1987; 
June 1. 1988. 



(c) The Schedule of Classifications and Wa- 
ter Quality Standards for the Cape Fear River 
Basin has been amended etYecti\;e June T [988 
as follows: 



Lit 



Cane Creek [Index No. 16-21-(1)| from 
source to a point 0.5 mile north of N C. 
II w\-. 54 (Cane Reservoir Dam) in- 
cluding the Cane Creek Reservoir and 
all tnbutanes has been reclassified from 
Class WS-III to WS-I 



iZl 



Morgan Creek [Index No. 16-41-2-(l)l 
to the l.niversitv I ake dam includmg 
L'ni\ersitv Lake and all tnbutanes has 
been reclassitied from Class WS-III to 
WS-I. 



Statutory .Authority G.S. 1 43-2 1 4. 1: 143-21 5.1; 
143-215. 3{aj (I j. 

-k-k-k-k-k-k-k-k-k-k-k-k-k-k-k-k 



No 



otice is hereby given in accordance with G.S. 
150B-I2 that the Environmental Management 
Commission intends to amend regulation cited 
as 15 XCAC 2B .0315. 



1 he proposed effective date of this action is 
July I, 1988. 

1 he public hearing will be conducted at 7:30 
p.m. on January 13, 1988 at Wake Forest 
Town Hall, Town of Wake Forest, 401 East 
Elm Street, Wake Forest, North Carolina 
27587. 

y^ omment Procedures: A 11 persons interested 
in this matter are imited to attend. Comments, 
statements, data, and other information may be 
submitted in writing prior to, during, or within 
30 days after the hearing or may be presented 
orally at the hearing. Oral statements may be 
limited at the discretion of the hearing officer. 
Submittal of written copies of oral statements 
is encouraged. 

.0315 NELSE RIVER B.\SIN 

(b) The Neuse River Basin Schedule of 
Classification and Water Quality Standards 
was amended effective: 

(1) March 1, 1977; 

(2) December 13, 1979; 

(3) September 14, 1980; 

(4) August 9, 1981; 

(5) Januan- 1, 1982; 

(6) Apnl 1, 1982; 

(7) December 1, 1983; 

(8) Januar>- 1, 1985; 

(9) August 1, 1985; 

(10) Februar\- 1, 1986; 

(11) Julv 1, l"988. 

(c) The Schedule of Classifications and Wa- 
ter Qualitv Standards for the Neuse River Ba- 
sm has been amended effective Julv j_^ 1988 as 
follows: 

(1) Smith Creek (Index No. 27-23-(l)| from 
source to the dam at Wake Forest Res- 
ervoir has been reclassified from Class 
WS-III to WS-I. 

[22 Little River [Index No. 27-57-(l)] from 
source to the N.C. Hw> . 97 Bndge near 
/ebulon including all tributaries has 
been reclassified from Class WS-Ill to 
WS-I. 



(3) An unnamed tributar\' to Buffalo Creek 
just upstream of Robertson's Pond in 
Wake (\Tunt\ from source to Buffalo 
Creek including Leo's Pond has been 
reclassified from Class C to R 

Statutory- Authority G.S. 143-214.1; 143-215.1: 
143-21 5.3 (a) (1). 



•kkkkkkkkkkkkkkkk 



507 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



1\ otice is hereby given in accordance with G.S. 
I50B-I2 that the North Carolina Department 
of Natural Resources and Community Develop- 
ment intends to adopt regulation cited as 15 
NCAC 2F .0301. 

I he proposed effectbi'c date of this action is 
April I. /9SS. 

I he public hearing will be conducted at 7:00 
p.m. on January 7. 1 988 at Orange County 
Courthouse. 106 E. Margaret Lane, Hillsbor- 
ough, Sorlh Carolina 27278. 

\^ ommenl Procedures: All persons interested 
in this matter are itwiicd to attend. Comments, 
statements, and other information may be sub- 
mitted in writing prior to the hearing, or may 
be presented orally at the hearing. Oral state- 
ments mav be limited at the discretion of the 
hearing officer. Submittal of written copies of 
oral statements is encouraged. Contact Mi- 
chael Douglas or Tamara Whisnant at 5/2 A'. 
Salisbury ^Street. Raleigh. NC 276/1 (9/9) 
733-4064 for additional information. 

SLBCHAP IKR 2K CAP AC I 1^ I SK AREA 
WATKK WiniDRAWAL 



SECTION .0300 



CAI'ACn V I SE AREA 

NO. 2 



.0301 DECEARAIION AND DELINEATION 
OF CAPACITY I SE AREA NO. 2 

The Bn\ironmcntal Management Commis- 
sion declares and delineates the foUowing de- 
scribed geograpliical area a capacity use area: 

Beginning at a point where the line of con- 
fluence of the Little River and the lino River 
strikes the east bank; thence from said point 
of beginning in a southerly direction along a 
slight ridge 0.6 mile to Ilamlm Road (SR 
1634), said point being 0.75 mile west of the 
intersection of SR 1634 and SR 1635; thence 
southwestward along HamUn Road 2.0 miles 
to Old 0.\ford Road"(SR 1004); thence south- 
westward along Old O.xlbrd Road 1 .4 miles to 
Roxboro Road (US 501 Business); thence 
northwestward along Roxboro Road 0.6 mile 
to (."arver Street (SR 1407); thence westward 
along Carver Street 3.5 miles to Rose of 
Sharon Road (SR 1404); thence southward 
along Rose of Sharon Road 0.15 mile to Cole 
Mill Road (SR 1401); thence southeastward 
along Cole Mill Road 0.2 mile to Berini Drive; 
thence westward along Bcnni Drive 0.8 mile 



to .Marshall Way; thence westward along the 
ridge 0.75 mile cross country across 1-85 to the 
junction of Hillsborough Road (US 70) and 
Sparger Road (SR 1400); thence westward 
along Hillsborough Road 0.4 mile to Highway 
NC 751; thence southward along NC 751 ap- 
proximately 0.9 mile to a point where the ridge 
crosses NC 751; thence westward along the 
ridge across Couch .Mountain 1.7 miles to a 
point where the ridge crosses SR 1716, said 
point bemg 0.3 mile north of the intersection 
of SR 1716 and SR 1841; thence in a generally 
westward direction along SR 1716 approxi- 
mately 0.4 mile to the intersection of Mt. 
Hermon Church Road (SR 1713) and Murphy 
School Road (a continuation of SR 1716); 
thence southwestward along Murphy School 
Road 1.25 miles to Brockwell Road (SR 
1720); thence westward along Brockwell Road 
0.45 mile to University Station Road (SR 
1712); thence westward 0.3 mile along a trail, 
which is a continuation of Brockwell Road, to 
the junction of Pine Hill Road and Cool 
Spring Road; thence westward along Pine Hill 
Road 0.1 mile to (jtcen Hill Road; thence in 
a generally westward direction along the ridge 
1.6 miles cross country to NC 86 at the New 
Hope Cemetery; thence northwestward along 
NC 86 approximately 1.2 miles to the junction 
of a pri\ate road; thence in a generally west- 
ward direction along the ridge 1.3 miles cross 
country to the junction of Davis Road (SR 
1129) and Old 86 Road (SR 1009); thence in 
a generally westward direction along the ridge 
3.4 miles, running somewhat parallel to and 
south of Davis Road, to the intersection of 
Davis Road, Orange Grove Road (SR 1006), 
and Tree Farm Road (SR 1199); thence nor- 
theastward along Orange Grove Road 0.35 
mile to a power line; thence westward along 
the power Line 2.2 miles to a point where the 
power line cros.ses Borland Road (SR 1126), 
said point being 0.46 mile southeast of the in- 
tersection of SR 1126 and Chestnut Ridge 
Crhurch Road (SR 1125); thence northwest- 
ward along Borland Road 0.46 mile to Chest- 
nut Ridge Church Road; thence northward 
along Chestnut Ridge Church Road 0.4 miJe 
to the point of intersection of said road with 
the ridge and a farm road to the east; thence 
generally northwestward with the ridge 1.9 
miles to a point where the ridee crosses Mt. 
Willing Road (SR 1120), said point being 0.35 
mile northeast of the intersection of SR 1120 
and Buckhom Road (SR 1114); thence west- 
ward along .Mt. Willing Road 0.35 mile to 
Buckhom Road; thence northward along 
Buckhom Road 3.25 miles to Frazier Road 



NORTH CAROLINA REGISTER 



508 



^ 



PROPOSED RULES 



(SR 1310) to include a pond on the west side 
of Buckhom Road, said pond being 0.5 mile 
north of the intersection of SR II 14 and SR 
1 120; thence generally northeast along Frazier 
Road 1.3 miles to an unimproved farm road 
to the west; thence northward along the ridge 
0.65 mile to a point where the ridge crosses 
Lebanon Road (SR 1306), said point being 
0.25 mile west of the intersection of SR 1306 
and SR 1310; thence eastward along the ridge 
0.25 mile to a point where the ridge crosses 
I razier Road (which at that location is SR 
1342), said point being 0.13 mile north of the 
intersection of SR 1342 and SR 1306; thence 
northeastward along the ridge 0.7 mile to a 
pomt where the ridge touches Ira Road (SR 
1341), said point being 0.5 mile north of the 
mterscction of SR 1341 and SR 1306; thence 
northeastward along Ira Road 0.55 mile to 
Higli Rock Road (SR 1340); thence nor- 
thwestward along High Rock Road 0.9 mile to 
the intersection of the ridge and an unim- 
proved road to the north; thence northward 
along said unimproved road which follows the 
ridge 1.5 miles to a point where the road in- 
tersects Harmony Church Road (SR 1341), 
said point being 0.4 mile southwest of the in- 
tersection of SR 1341 and SR 1343; thence 
northward along the ridge 0.6 mile to a point 
where the ridge touches Mill Creek Road (SR 
1343), said point being 0.5 mile northeast of 
the intersection of SR 1343 and SR 1341; 
thence northeastward along Mill Creek Road 
0.4 mile to Governor Scott Road (SR I35I); 
thence northwestward along the ridge 1 . 1 miles 
to the intersection of Poteat Road (SR 1349) 
and Lonesome Road (SR 1350); thence 
northward along the ridge 1.2 miles to a point 
where the ridge crosses Carr Store Road (SR 
1004). said point being southeast 0.2 mile from 
the intersection of SR 1004 and SR 1 36 1; 
thence northward along the ridge to a point 
where the ndge touches Fenecost Road (SR 
1361), said point being 0.25 mile north of the 
intersection of SR 136! and SR 1004; thence 
northward along the ridge generally following 
Pcnecost Road 1.3 miles to Doc Corbett Road 
(SR 1370); thence northward along the ridge 
1.3 miles to the intersection of Highway NC 
49 and McCuUougli Road (SR 1317); thence 
eastward along McCullough Road 0.35 rrule to 
Fenecost Road (SR 1361); thence northward 
along Fenecost Road 0.25 mile to a point 
where the ridge leaves the road; thence gener- 
ally northeast along the ridge 0.85 mile to a 
point where the ridge touches NC 86 and an 
unimproved road to the east; said point being 
0.55 mile northwest of the intersection of NC 



86 and SR 1371; thence southeastward along 
NC 86 approximately 1.2 miles to a point 
where the ridge leaves NC 86 in a northeasterly 
direction, said point being 0.2 mile southeast 
of the intersection of NC 86 and Efland-Cedar 
Grove Road (SR 1357); thence northeastward 
along an unimproved road 0.4 mile to Allison 
Road (SR 1501); thence northward along Al- 
lison Road 0.08 mile to an unimproved road 
to the east; thence eastward along the ridge 0.9 
mile to a point where the ridge crosses Hurdle 
Mills Road (SR 1504), said point being 0.1 
mile south of the intersection of SR 1504 and 
SR 1503; thence eastward along the ridge to a 
point where the ndge touches Caviness Jordan 
Road (SR 1506), said point bemg 0.35 mile 
south of the intersection of SR 1506 and SR 
1 577; thence southward along Caviness Jordan 
Road 0.4 rrdle; thence southwestward along 
the ridge line to a point where the ridge crosses 
Hawkins Road (SR 1508), said point being 
0.15 mile west of the junction of SR 1508 and 
SR 1506; thence eastward along Hawkins 
Road 0.2 mile to Caviness Jordan Road; 
thence southward along said road 0.5 mile to 
Olin Road (SR 1546); thence southeastward 
along Olin Road 0.3 mile to an unimproved 
road to the south; thence southward along the 
ridge 0.6 mile to the intersection of NC 86 and 
an unimproved road to the east, said point 
being 0.45 mile southeast of the intersection 
of NC 86 and SR 1353; thence southeastward 
along NC 86 approximately 4.2 miles to the 
point of intersection of NC 86 and an unim- 
proved road to the east, said point being north 
of Jones Grove Church, with the exception of 
a pond west of NC 86 approximately I rrdle 
south of the intersection of NC 86 and Sawmill 
Road (SR 1545); thence generally eastward 
along the ridge 1.5 miles to a point where the 
ridge intersects Fhelps Road (SR 1551), said 
point being 1.25 mUes east of the intersection 
of SR 1551 and NC 86; thence along Fhelps 
Road 1.3 miles to the intersection of NC 57; 
thence generally southeastward along the ridge 
1.15 miles to a point where the ridge crosses 
Miller Road (SR 1554), said point being 0.4 
mile south of the intersection of SR 1554 and 
SR 1553; thence generaUy eastward along the 
ridge to a point where the ridge crosses New 
Sharon Church Road (SR 1538) at the inter- 
section of Walker Road (SR 1553); thence 
northeastward along New Sharon Church 
Road 2.2 rrules to the intersection of SR 1538 
and Schley Road (SR 1548); thence generally 
southeastward along the ridge 1.7 miles to a 
point where the ridge touches Lipscomb Grove 
Church Road (SR 1574) at Lipscomb Grove 



509 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



Church, said point being 0.7 mile east of the 
intersection of SR 1574 and SR 1548; thence 
generally northeastward along the ridge 0.95 
mile to a point where the ridge crosses Terry 
Road (SR 1573), said point being 0.7 mile 
north of the intersection of SR 1573 and SR 
1002; thence southward along SR 1573 ap- 
proximately 1.3 miles to the Orange and Dur- 
ham County line; thence southward along the 
county line 0.6 mile to Ebenezer Church Road 
(SR 1452); thence eastward along SR 1452 
approximately 0.1 mile to Bivins Road (SR 
1453); thence southeastward along Bivins 
Road 0.5 mile to a power line; thence nor- 
theastward along the power line 0.35 mile to a 
point where the ridge crosses under the power 
Une; thence eastward along the ridge 0.75 mile 
to a point where the ridge crosses Russell 
Road (SR 1451), said point being 1.3 miles 
southwest of the intersection of SR 1451 and 
SR 1003; thence northeastward along RusseU 
Road 1.3 miles to Guess Road (SR 1003); 
thence southeastward along Guess Road 0.7 
mile to Milton Road (SR 1456); thence 
southeastward along MOton Road 1.8 miles to 
Massey Road (SR 1458), to include two ponds 
on the east side of Milton Road 0.5 mile 
southeast of the intersection of Milton Road 
and Ajidover Road (SR 1581); thence eastward 
along Massey Road 0.2 mile to Ro.\boro Road 
(US 501); thence southward along Roxboro 
Road 0.1 mile to Goodwm Road '(SR 1640); 
thence eastward along Cioodwin Road 0.5 mile 
to Crestview Drive (SR 1700); thence south- 
ward along Crestview Drive 0. 1 mile to a point 
where the ridge crosses Crestview Drive; 
thence eastward along the ridge 1.5 miles to the 
intersection of Goodwin Road and Infinity 
Road (SR 1639); thence southeastward along 
Infinity Road 0.3 mile to a point where the 
ridge crosses said road; thence generally 
southeastward along the ridge 0.8 mile to a 
point where the ridge crosses Snow IliU Road 
(SR 1631), said point being 0.3 mile north of 
the intersection of SR 1631 and SR 1004; 
thence southeast along the ridge 0.15 mile to a 
point where the ridge crosses Old O.xford Road 
(SR 1004), said point being 0.15 mile north of 
the intersection of SR 1004 and SR 1631; 
thence eastward along the ridge 1.0 mile to a 
point where the line of confluence touches the 
west bank of the l:no River; thence along the 
line of confluence to the point of beginning. 

Statutory Authoritv G.S. 143-215.13 through 
143-215.22. 

■k-k^-k-k-k-k-kk-k-k^-k-k-k-k 



lyotice is hereby given in accordance with G.S. 
I50B-I2 that the Coastal Management intends 
to amend regulation cited as 15 NCAC 7H 
.0503. 

I he proposed effective date of this action is 
March J, 1988. 

1 he public hearing will be conducted at 10:00 
a.m. on December 17, 1987 at Marine Fisheries 
Building, 341 1 Arendell Street, Morehead City, 
NC. 

(comment Procedures: All persons interested 
in these matters are invited to attend the public 
hearing. The Coastal Resources Commission 
will receive written comments up to the date of 
the hearing. Any person desiring to present 
lengthy comments is requested to submit a 
written statement for inclusion in the record of 
proceedings at the public hearing. Additional 
information concerning the hearing or the pro- 
posals may be obtained by contacting Portia 
Rochelle, Division of Coastal Management, P. 
O. Box 27687, Raleigh, NC 27611-7687, (919) 
733-2293. 

CHAP! ER 7 - COASTAL MANAGEMENT 

SL'BCIIAPTER 7H -STATE GUIDELINES 

FOR AREAS OF ENVIRONMENTAL 

CONCERN 

SECTION .0500 - NATURAL AND CULTURAL 
RESOURCE AREAS 

.0503 NOMINATION AND DESIGNATION 
PROCEDURES 

(f) F'ubhc Hearing. If, after receiving the 
detailed review, the CRC decides to consider 
formal designation of the site as an AEC and 
adopt the particular management plan and/or 
use standards developed, a public hearing or 
hearings shall be conducted and notice of 
hearing published and distributed in accord- 
ance with the requirements of G.S. 1 13A-1 15 
and G.S. 150B-12. wt^ b# hi-14, within 4» daw 

^J^^^; ti^^ I U f j-^ 1-^ J-' ■ f 1 i-^ «-t 1 f\ ll^ji r^ r^i t i^-t\ r t n x i tVi i ^t-» 

HI 1 1- I 1 1 lU ' — ' I \ \ ' U L^J I UIV/ 1 1 ^ III 1 1 i\J ^^T^TTTTT III TT I CIT.' 1 1 

A© site i* locat e d. Notic e ef afty nuch hearing 
shall h^ given He* l^^ss than M day* b e for e th» 
date e4 f . uoh hearing. The notice shall state 
t4*at- copies ef Ae site description afi4 ef afty 
rules proposed te implement ih» designation 
af© availabl e fof public inspection at- the 
county courthouse ef A4* affect e d county aft4 
at- y*e Roleigli Office ©f the DCM. At- tbie 
hearing, Ae CRC shall present tlw scientific 



NORTH CAROLINA REGISTER 



510 



PROPOSED RULES 



documontution a«4 gonoral (itatomont ' j m 6«p- 
p*«=t ef Ae dL'oignation dc ' cir i ion. iVny p e roon 

»f aftv propo ' jod rules Hwty de s» at A« public 
h e anng &f may oubmit writton oomm t' ntfi te 
y%^ CRC within M d*v& foUo' . ving tfe« public 
heanng. Copies of the site description and of 
any proposed Rules shall be made available for 
public inspection at the county courthouse in 
each affected county and at the Raleigh Office 
of the Dnision of Coastal Management. At 
the hearing(s) the ("RC shall present the doc- 
umentation and recommendations in support 
of the designation decision. 

(g) Formal Designation. Mter consideration 
of all comments, the commission will make its 
final judgment. If the site is designed desig- 
nated as an AEC, CRC will also adopt a 
management strategy or use standards applica- 
ble to the .AEC. Dof . ignation i* by Htler aft4 
vrtH b* L'tTocti' i O tfee fe4 day e4' thi* oooond 
month foUo' i ' i inc CRC d e signation. 

Statutory Authority G.S. I ISA- 107 (a), (b); 
IIjA-IIJi bj(4ej through (bj{4hl. 



J\ otice is hereby gi\-en in accordance with G.S. 
I SOB- 1 2 that the SRCD - Division of Commu- 
nity Assistance intends to adopt regulatiotu 
cited as IS \'CAC 130 .0101 - .0104: .0201 - 
.0202; .0301 - .0304; .0401 - .0403; .OSOl - 
.0S03; .0601 - .060S; .0701 - .0"04. 

1 he proposed effective date of this action is 
.March I, I9SS. 

1 he public hearing will be conducted at the 
following times and locations: 10:00 a.m. on 
December 16, 1987 at Beaufort County Com- 
munity College, US 264 E., Washington. AC; 
7:00 p.m. on December 16, 1987 at Personnel 
Development Center, 101 E. Peace Street, Ra- 
leigh, -VC; 3:00 p.m. on December 17, 1987 at 
Catawba Valley Technical College, US 64-70, 
Hickofy, .VC 

\^ omment Procedures: Written comments 
may be submitted to: Chandler Bryan, Dhision 
of Community Assistance, P. O. Bo.x 27687, 
Raleigh. SC 27611-7687. 

CHAPTER 13 - Dl\ ISION OF COMMLMTY 
ASSIST.\NCE 



SLBCHAPTER 130 - EMERGENCY SHELTER 

GRANTS PROGRAM ADMINISTRATIVE 

RULES 

SECTION .0100 - GENERAL PROVISIONS 

.0101 PURPOSE AND OBJECTIVES 

The purpose of the North Carolina Emer- 
gency Shelter Grants Program (hereinafter re- 
ferred to as "ESGP") is to assist families and 
individuals who are homeless primarily due to 
their economic circumstances. Consistent 
with this purpose, ESGP funds will assist local 
governments in impro\mg the quality and 
a\ailabiiity of emergency shelters and ser\'ices 
for the homeless m their community. 



Authority G.S. 143-323; 143B-276; P. 
100-77; 24 CER S7S. 



L. 



.0102 DEFINITIONS 

The following terms shall apply to the rules 
of this Subchapter: 

(1) "Act" means the Stewart B. McKmney 
Homeless Assistance Act, P.L. 100-77, as 
amended. 

(2) "AppUcant" means a local go\'emment 
which makes an appUcation pursuant to 
the provisions of this Subchapter. 

(3) "Chief Elected Official" means either the 
elected .Mayor of a City or the Chairman 
of a County Board of Commissioners. 

(4) "ESGP" means the state-administered 
Emergency Shelter Grants Program. 

(5) "Local Government" means any unit of 
general city or county government in the 
state. 

(6) "NRCD" means the North Carolina 
Department of Natural Resources and 
Community Development. 

(7) "Obligated" means that the recipient or 
subrecipient, as appropriate, has placed 
orders, awarded contracts, or entered sim- 
ilar transactions that require payment 
from the grant amount. 

(8) "Recipient" means a local government 
that has been awarded an ESGP grant and 
has executed a Grant Agreement with 
NRCD. 

(9) "Secretary" means the Secretary of the 
Department of Natural Resources and 
Community Development or his designee. 

(10) "Shelter" means an individual faciHty 
whose purpose is to assist homeless per- 
sons through activities funded under this 
Subchapter. 

(11) "State" means the state of North Caro- 
lina. 



511 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



Authority G.S. 143-323; 24 CFR 575.3; PL. 
J 00-77. 

.0103 WAIVERS 

The Secretary may waive any requirements 
of this Subchapter not required by law when- 
ever he determines that undue hardship to ap- 
plicants, recipients or beneficiaries will result 
from applying the requirements and where ap- 
plication of the requirements would adversely 
affect the purposes of the Act. 

Authority G.S. 143-323; PL. 100-77; 24 CFR 
575. 

.0104 ELIGIBLE APPLICANTS 

Eligible applicants are all local governments. 

Authority G.S. 143-323; 24 CFR 575.23. 

SECTION .0200 - EIICIBLE AND INELIGIBLE 
ACTIVITIES 

.0201 ELIGIBLE ACTIVITIES 

This Subchapter, in accordance with G.S. 
150B- 14(c), adopts by reference as eligible ac- 
tivities those activities described as such in the 
Act and in 24 CFR 575.21(a), as amended. 
Copies of these sections of federal law and re- 
gulation are available for public distribution 
from the Division of Community Assistance 
of NRCD. 

Authority G.S. 143-323; I50B-14; 24 CFR 

575.2L 

.0202 INELIGIBLE ACTIVITIES 

This Subchapter, in accordance with G.S. 
150B- 14(c), adopts by reference as ineligible 
activities those activities described as such in 
the Act and m 24 CFR 575.21(b), as amended. 
Copies of these sections of federal law and re- 
gulation are available for public distribution 
from the Division of Conrniunity Assistance 
of NRCD. 

Authority G.S. 143-323; I50B-I4: 24 CFR 
575.2L 

SECTION .0300 - DISTRIBUTION OF FUNDS 

.0301 APPLICATION REQUIREMENTS 

(a) local governments are required to sub- 
mit applications in a manner prescribed by 
NRCD in order to be considered for funding. 
Selection of applications for funding will be 
based primarily on information contained in 
the application, thus apphcations must provide 



sufficient information for NRCD to evaluate 
them. 

(b) Applicants may apply for more than one 
grant and be awarded more than one grant, 
providing the total amount of funds awarded 
to a single shelter does not exceed the maxi- 
mum limits described in Sections .0400 and 
.0500 of this Subchapter. 

(c) NRCD shall designate specific dates for 
submission of ESGP grant apphcations. 
Grant appUcation submission dates will be 
announced by NRCD a minimum of 20 days 
before the date applications are due. 

(d) Apphcations must be received by NRCD 
administrative offices in Raleigh before 5:00 
p.m. on the submission date or, if sent by mail, 
must be postmarked on the submission date. 

(e) The appUcant shall certify to NRCD that 
it will comply with all applicable federal and 
state laws, regulations, rules and executive or- 
ders. 

(1) Copies of these federal and state docu- 
ments are available for pubUc distrib- 
ution from the Division of Community 
Assistance of NRCD. 

(2) Notwithstanding the provisions of Par- 
agraph (d) above, certifications of com- 
pliance may be submitted up to two 
weeks after the date the application is 
due. This provision applies only to 
certifications. 

(f) Apphcants must comply with the Act, all 
applicable federal and state laws, regulations, 
rules, executive orders and guidelines issued by 
NRCD. 

Authority G.S. 143-323; 24 CFR 575.61. 

.0302 SIZE OF GRANTS 

Grants are applied for and awarded in two 
categories: Operations/Services and Rehabili- 
tation. 
(I) Operations/Services. The maximum 
amount which may be appUed for and 
awarded in the Operations/Services cate- 
gor>' depends on the size of the shelter on 
whose behalf the apphcation is made. 
Shelter size shall be determined by over- 
night lodging capacity. Maximum awards 
per shelter are: 

(a) Ten thousand doUars ($10,000) for a 
sheher with a capacity of ten or fewer 
persons per night; 

(b) Twenty thousand doUars ($20,000) for 
a shelter with a capacity from II to 20 
persons per night; 



NOR TH CA R OLINA R EG IS TER 



512 



PROPOSED RULES 



(c) Forty thousand dollars ($40,000) for a 
shelter with a capacity of 21 or more 
persons per night. 

(2) Rehabilitation. The maximum grant 
amount per shelter which may be applied 
for or awarded in the Rehabihtation Cat- 
egory is thirty-five thousand dollars 
($35,000). 

(3) The minimum grant which may be ap- 
plied for or awarded in either of the above 
categories is one thousand fi\e hundred 
dollars ($1,500), 

(4) Notwithstanding the provisions of Para- 
graphs (a) and (b) above, NRCD reser\'es 
the right to fund applications for less than 
the requested amount in the event that the 
total amount of funds requested exceeds 
the total amount of funds available; in this 
event, NRCD may consider local needs 
and shelter resources. NRCD also re- 
serves the right to award grants exceeding 
the above limits if the total amount of 
funds requested is less than the total 
amount of funds available. 

Authori!}' G.S. 143-323: 24 CFR 575. 

.0.^03 DISTRIBL TION OF FUNDS 

A minimum of 30 percent of ESGP funds 
available will be awarded in each of the two 
categories: Operations Services and Rehabili- 
tation. 

Authority G.S. 143-323; 24 CFR 575. 

.0304 REALLOCATION 

.\nv HSCjP funds recaptured bv NRCD, as 
provided for m Rule .0704 and Rule .0605 of 
this Subchapter, may be distributed to grant 
recipients in a manner to be prescribed by 
NRCD. 

Authority G.S. 143-323: 24 CFR 575.41. 

SECTION .0400 - OPERATIONS/SERVICES 
CATEGORY 

.0401 DEFINITION 

This Section, in accordance with G.S. 
15()B- 14(c), adopts by reference as 
Operations,'Scr\'iccs Category activities those 
activities described in 24 CFR 575.21(a)(2) and 
(3), as amended. 

Authority G.S. 143-323: 24 CFR 575.21. 



(1) All funds received will be expended 
within 1 80 days of the date of the grant 
award; 

(2) Funds used for the provision of essential 
services: 

(a) Total 15 percent or less of the entire 
Operations/ Services grant amount; 

(b) Are used to provide either a new service 
or a quantifiable increase in the level of 
service; 

(3) Matching resources required by the fed- 
eral government wiU be available during 
the period of the grant; 

(4) Each shelter assisted with ESGP 
Operations/Services funds wUl remain in 
existence as a shelter for a period of at 
least three years from the date of occu- 
pancy as a shelter or from the date of the 
erant award, whichever is later, or longer 
if Rule .0502(c)(2) of this Subchapter ap- 
plies; 

(5) The federal restrictions on the use of 
federal funds by primarily religious organ- 
izations wiU be met. These include re- 
strictions against religious discrimination 
and proselytizing. 

Applications that do not meet these require- 
ments will not be rated or funded. 

Authority G.S. 143-323: 24 CFR 575. 

.0403 SELECTION CRITERIA 

(a) Applications will be selected for funding 
by NRCD based on overall project quality, 
geographic distribution of applicants, and the 
availability of ESGP funds. 

(b) Project quality will be determined by 
NRCD based on the following factors: 

(1) Benefits of proposed activities to 
homeless persons, including type and 
number of both current and new bene- 
ficiaries; 

(2) Feasibility of the proposed activities, 
including: 

(A) Lxjcal resources for sheltering the 
homeless; 

(B) Local commitment to continue the 
program to be assisted with ESGP 
Funds. 

Authority G.S. 143-323: 24 CFR 575. 

SECTION .0500 - REHABILITATION 
CATEGORY 



.0402 ELIGIBILITY REQLIRE.MENTS 

Applications for Operations; Services funds 
must show that: 



.0501 DEFINITION 

This Section, in accordance with G.S. 
150B- 14(c), adopts by reference as Rehabih- 



513 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



tation Category activities those activities de- 
scribed in 24 CI-R 575.21(a)(1), as amended. 
These include renovation, major rehabilitation, 
or conversion of a shelter. 

Authority G.S. 143-323; 24 CFR 575.2/. 

.0502 F.I.IGIBILH Y REQUIREMENTS 

Applications for Rehabilitation funds must 
show that: 

(1) Matching resources required by the fed- 
eral government will be available during 
the period of the grant; 

(2) All funds will be obligated within 180 
days of the date of the grant award and 
expended within 360 days of the date of 
the grant award; 

(3) Federal requirements for continuation of 
service will be met. These include: 

(a) Shelters renovated with ESGP funds 
shall remain in existence as shelters for 
three years after initial date of occu- 
pancy as a shelter or the date of the 
grant award, wliichever is later; 

(b) Shelters on which major rehabihtation 
or conversion is undertaken with ESGP 
funds shall remain m use as shelters for 
ten >ears after initial occupancy as a 
shelter or the date of the grant award, 
wliichever is later; 

(4) The federal restrictions on the use of 
federal funds by primarily religious organ- 
izations will be met. These include re- 
strictions on religious discrimination and 
proselvtizing; 

(5) No building to be assisted with ESGP 
funds is owned by a primarily religious 
organization; and 

(6) The giantee will comply with all apph- 
cablc state and federal laws, regulations, 
and guidelines pertaining to the use of 
federal funds in rehabilitation activities. 

Applications that do not meet these require- 
ments wiU not be rated or funded. 

Authority G.S. 143-323; 24 CFR 575.33. 

.0503 SELECTION CRITERIA 

(a) Applications will be selected for funding 
by NRCD based on overall project quality, 
geographic distribution of applicants, and the 
availability of ESGP funds. 

(b) Project quality will be determined by 
NRCD based on the following factors: 

(1) Benefits of proposed activities to 
homeless persons, including type and 
number of both current and new bene- 
ficiaries; 



(2) Eeasibility of the proposed activities, 
including: 

(A) Local resources for sheltering the 
homeless; 

(B) Local commitment to continue the 
program to be assisted with ESGP 
Funds. 

Authority G.S. 143-323; 24 CFR 575. 

SECTION .0600 - GRANT ADMINISTRATION 

.0601 GRANT AGREEMENT 

(a) Upon approval of the application by 
NRCD, a written grant agreement will be exe- 
cuted between the recipient and NRCD. The 
Rules in this Subchapter, subsequent guide- 
lines prepared by NRCD, the approved apph- 
cation, and any subsequent amendments to the 
approved application shall become a part of 
the grant agreement. 

(b) ITie grant agreement in its original form 
and all modifications thereto shall be kept on 
file in the office of the recipient in accordance 
with Rule .0604 of this Section. 

(c) ESGP Program amendments. Recipients 
shall request prior NRCD approval for all 
amendments to the grant agreement when: 

(1) The recipient proposes to change the 
approved project budget amount for 
any of the three types of ehgible activ- 
ities as described in 24 CFR 575.21(a). 

(2) The recipient proposes to distribute all 
or part of their grant(s) to programs, 
shelters, or agencies other than those 
originally approved in the apphcation. 

(d) NRCD reserves the right to disallow any 
proposed amendment to the grant agreement. 

Authority G.S. 143-323; 24 CFR 575.61. 

.0602 METHOD OF .ADMINISTRATION 

(a) Recipients may delegate to authorized 
subrecipients the responsibility of undertaking 
or carrying out ESGP activities pursuant to 24 
CFR 57573 and 24 CFR 575.23. All entities 
so designated under this Subparagraph by re- 
cipients to undertake or carry out ESGP ac- 
ti\ities pursuant to this Subchapter shall be 
considered subrecipients. 

(b) NRCD shall make payments of ESGP 
funds to recipients on a cost-reimbursement 
or cost-incurred basis. ^'Vll requests for pay- 
ment shall be for amounts of not less than one 
thousand five hundred dollars ($1,500). 

(c) All payments of ESGP funds to recipients 
must be for costs incurred during the period 
of the grant. Recipients will not receive pay- 



NORTH CAROLINA REGLSTER 



514 



PROPOSED RULES 



mcnt for costs incurred before the execution 
of the Grant Agreement. 

Authority G.S. 143-323; 24 CFR 575. 

.0603 PROPERTY MANAGEMENT 
STANDARDS 

(a) Property acquired with ESGP grant 
funds shall be used to provide benefits to the 
homeless. 

(b) Recipients and subrecipients should use 
proceeds from the disposition of property ac- 
quired with ESGP funds in a manner which 
provides benefit to the homeless in their com- 
munity. 

Authority G.S. 143-323; 24 CFR 575.61. 

.0604 RECORDKEEPING 

(a) NRCD, or any of NRCD's duly author- 
ized representatives, shall have access to all 
books, accounts, records, reports, files, and 
other papers or property of recipients or their 
subrecipients and contractors pertaining to 
funds provided under this Subchapter for the 
purpose of making sur\'eys, audits, examina- 
tions, excerpts and transcripts. 

(b) Financial records, supporting documents 
and all other reports and records required un- 
der this Subchapter, and all other records per- 
tinent to the ESGP Program shall be retained 
by the recipient for a period of at least three 
years from the date of the closeout of the pro- 
gram, except: 

(1) Records documenting compliance with 
24 CFR 575.53 shaU be kept for the 
period of comphance; 

(2) Records shall be retained until all liti- 
gations, claims, or audit findings in- 
volving the records have been resolved. 

(c) All records shall be sufficient to deter- 
mine compliance with the requirements and 
primary- objectives of the ESGP Program and 
all other apphcable laws and regulations. .-Ml 
accounting records shall be supported by 
source documentation. 

.Authority G.S. 143-323; 24 CFR 575.67. 

.0605 GRANT CLOSEOL TS 

ESGP grants will be closed out by NRCD in 

the following circumstances: 
(1) NRCD will mitiate closeout procedures 
after NRCD determines, in consultation 
with the recipient, that there are no im- 
pediments to closeout and that all ESGP 
funds ha\e been expended. 



(2) Termination of grant for mutual con- 
venience. Grant assistance provided un- 
der this Subchapter may be cancelled, in 
whole or in part, by NRCD or the recipi- 
ent, prior to the completion of the ap- 
proved ESGP Program, when both 
parties agree that the continuation of the 
program no longer is feasible or would not 
produce beneficial results commensurate 
with the further expenditure of funds. 

(3) Termination for cause. The Secretary 
may terminate the recipient's entire grant, 
or the remaining balance thereof, in ac- 
cordance with Rule .0704 of this Sub- 
chapter. 



Authority 
575.61. 



G.S. 143-323; 159-34; 24 CFR 



SECTION .0700 - COMPLE\NCE AND 
REPORTING REQUIREMENTS 

.0701 COMPLIANCE 

Recipients shall have responsibility for en- 
suring that ESGP funds are expended as stated 
in their grant agreement and in conlbrmance 
with all apphcable federal and state laws, reg- 
ulations, and guidelines, regardless of whether 
activities are carried out by the recipient or a 
subrecipient. NRCD may prescribe procedures 
for ensuring comphance with the provisions 
of this Rule. 

Authority G.S. 143-323; 24 CFR 575.61. 

.0702 REPORTING 

(a) NRCD may require recipients to provide 
an interim performance report in a form pre- 
scribed by NRCD. Recipients will be notified 
a minimum of 20 days before the report will 
be due. 

(b) The recipient shall submit an Annual 
Performance Report to NRCD as part of 
closeout procedures. For grants not closed 
out, recipients shall submit an annual per- 
formance report no later than 270 days after 
the date that NRCD makes the grant available 
to the recipient. The annual performance re- 
port shall be in a form prescribed by NRCD. 

Authority G.S. 143-323; 24 CFR 575.65. 

.0703 MONITORING BY NRCD 

(a) The secretary may evaluate activities 
conducted under this Subchapter and their ef- 
fectiveness in meeting the objectives of the 
ESGP program. 

(b) The secretar}' may conduct such evalu- 
ations using NRCD personnel, or by contract 



515 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



or other arrangement with public or private 
agencies. 

Authority G.S. / 43-323; 24 CFR 575.69. 

.0704 REMEDIES 

When the secretary determines on the basis 
of a review of a recipient's performance that 
the objectives of an ESGP program described 
in the grant agreement have not been met, 
NRCD may take one or more of the following 
actions as appropriate: 

(1) Issue a warning letter that further failure 
to comply with such requirements will 
result in a more serious sanction; 

(2) Condition a future grant; 

(3) Direct the recipient to stop the incurring 
of costs with grant amounts; 

(4) Require that some or all of the grant 
amounts be remitted to NRCD; 

(5) Reduce the level of funds the recipient 
would otherwise be entitled to receive; or 

(6) lilect not to provide future grant funds 
to the recipient until appropriate actions 
are taken to ensure compliance. 

Authority G.S. 143-323; 24 CFR 575.69. 

TITLE 21 - OCCUPATIONAL LICENSLSG 
BOARDS 



lyotice is hereby given in accordance with G.S. 
I50B-I2 that the State Board of Certified Pub- 
lic Accountant Examiners intends to adopt and 
amend regulations cited as 21 SCAC 8A .0105; 
8F .0103; .0401; 8G .0110: .0201; .0202; .0203; 
.0208; .0209; .0210; .0211; .0212; .0403; 
.0404; 8H .0001 and 8J .0002. 

1 he proposed effective date of this action is 
April I, 1988. 

1 he public hearing will be conducted at 9:00 
a. m. on January 6, 1988 at N.C. State Board 
of CPA Examiners, 1 101 Oberlin Rd., Suite 
104, Raleigh, NC 27605. 

K^omment Procedures: Any person interested 
in these rules may present oral comments rele- 
vant to the action proposed at the public tide- 
making hearing or deliver written comments to 
the board office not later than noon on January 
6, 1988. Anyone planning to attend the hearing 
should notify the Executive Director at the 
board offices by noon Wednesday, December 
30, 1987, whether they wish to speak on the 
proposal and whether they will speak in favor 



of the proposal or against it. Oral presentations 
will be limited to 10 minutes per speaker per 
rule. 

CHAPTER 8 - BOARD OF CERTIFIED 
PLBLIC ACCOUNTANT EXAMINERS 

SLBCHAPTER 8A - DEPARTMENTAL RULES 

SECTION .0100 - ORGANIZATIONAL RULES 

.0105 PURPOSES AND RESPONSIBILITIES 

The purpoDos afi4 responoibilitioo »f the 
North Carolina Stato Board ef C e rtifiod Public 
Accountant Examin e ro are te- carry »«+ Ae 
poworo a«4 dutioG onumoratod ift North Caro 
lift* Gonaral Statute Chapter 93 13, O^B- aft4 

(a) The North Carolina State Board of Cer- 
tified Public Accountant Examiners is an in- 
dependent state agency, unlike the N.C. 
Association of CPAs. The state board is an 
occupational licensing board and is authorized 
by Chapter 93 of the N. C. General Statutes. 

(b) The board has these primary responsi- 
bilities: 

( 1) to grant CPA certificates to those who 
have met legal requirements including 
age, citizenship, education, experience 
and good moral character; 
to register CPA firms: 
to annually renew CPA certificates and 



01 



firm registrations; 
to administer the 



semi-annual CPA 



(5) to administer the CPE compUance pro- 
(61 



Examination; 



gram; 



to adopt rules of professional ethics and 
conduct to be observed by CPAs in this 
state; 



tzi 



(81 
i£l 



to conduct administrative hearings with 

respect to state statutes and board rules; 

and 

to administer other provisions of G.S. 

03. 

The board is composed of five persons 
who are CPAs and two persons who are not 
CPAs who represent the public at large. The 
board's staff includes an executive director who 
is a CPA, a deputy director, other fuU-time 
staff members and several part-time assistants, 
(d) In North Carolina anyone can practice 
public accountancy by paying a minimal priv- 
ilege license fee. However, anyone not licensed 
by the North Carolina Board of Examiners is 
restricted to only the title "accountant". Even 
though a person is a CPA in another state and 
holds a position in such fields as industry, go- 
vcmment or education, a North Carolina cer- 



NORTH CAROLINA REGISTER 



516 



PROPOSED RULES 



tificate issued hv the board must be obtained 
in order to use the ('PA title while in this state. 

Statutory Authority G.S. 93-/2. 

SUBCHAPTER 8F - REQUIREMENTS FOR 

CERTIFIED I'UBUIC ACCOUNTANT 

EXAMINATION AND CERTIFICATE 

APPLICANTS 

SECTION .0100 - GENERAL PROVISIONS 

.0103 FILING OF EXAMINATION 
APPLICATIONS AND FEES 

(a) The board shall announce the time and 
place for holding each examination at least 60 
days prior to the date thereof; and all applica- 
tions for examinations must be made to the 
board, accompanied by a check for the amount 
of the examination fee and made payable to 
the North Carolina State Board of Certified 
Public Accountant Examiners. If a check fails 
to clear the bank, the application shall be 
deemed incomplete and returned. 

(b) Such applications shall be postmarked 
with proper postage not later than the last day 
of Februar>' for the spring examination, and 
not later than the last day of August for the fall 
examination, unless one of those dates falls on 
a weekend or federal holiday, in which case the 
application must be postmarked or received in 
the board office on the ne.xt business day. 
Only U.S. Postal Ser\'ice cancellations will be 
considered as the postmarks. 

fe^ Applicantf f fof initial examination wiU he 
rL'quirod to r . ubmit oflicial lranL . cnpt; i from 
th e ir ■i chooli . a«4 oxporionco aftidcu i itQ (-tf Fe- 
quirod fof qualifying te- b« oxamin e d) wrtb 
their applications e* base them ftle4 hy- tfee 
datu ' j t.et- e+rt ift Paragraph fb^ »f tfe* Rule. 

(c) The initial application filed to take the 
examination must include supporting doc- 
umentation demonstratmg all legal require- 
ments have been met such as: 

( 1 ) minimum legal age, 

(2) I'nited States citizenship, 

(3) residency or dc^micilan' in North Caro- 



uith a notarized affidavit of intention to be^ 
come a U.S. citizen. 



lii 
i21 

(Jll 
States 



Una. 

education, 

experience, if required for qualifying to 

be examined, and 

good moral character. 



.\n\ person bom outside the L'nited 
must furnish to the board ollicc evi- 
dence of citizenship; resident alien status; or 
other bona tide e\ idcnce the applicant is legally 
allowed to remain in the United States for the 
purposes of becoming a I .S. citizen, along 



(e) Oflicial transcripts, originals (not photo- 
copies) signed by the college registrar and 
bearing the college seal are required to prove 
education and degree requirements. A letter 
from the academic dean of the school mav be 
filed to document the requirements being met; 
howe\er, no examination .grades will be re- 
leased until an official transcnpt is filed con- 
firming the rnformation supplied m the 
academic dean's letter. All applicants submit- 
ting transcripts from foreign schools for con- 
sideration of degree and or of meeting 
accountancy course requirements must have 
had the transcript(s) evaluated by a board ap- 
proved educational evaluation service. Appli- 
cants are to read their transcripts to determine 
if thev contain all the necessary required infor- 
mation. 

(f) ]f experience is required for qualification 
to be examined, aftidavits on forms supplied 
by the board must be prepared and si.gned by 
employers. 

f4^ (g} Three cortificatono certifications of 
good moral character signed by persons, not 
related by blood or marriage, acceptable to the 
board shall be submitted by the dates set out 
in Paragraph (b) of tliis Rule. 

fe-^ [h| All applications for reexamination 
must mclude three new certificates of moral 
character, which shall be signed by persons 
acceptable to the board. No additional state- 
ments and affidavits regarding experience and 
education will be required. 

(i) An applicant shall include as part of the 
appHcation a statement of explanation and a 
certified copy of court or license records if ap- 
plicant has: 
( 1) been 



con\ictcd or found guilty or 



pleaded nolo contendere to any felon v, 
or to any other criminal offense of 
which an essential element is dishon- 



12) 
(Jl 



estv, deceit, or fraud; 
violated Federal or state tax law; 
committed any act or conduct discred- 
itable to the accountancy profession in 
violation of the Rules of Professional 
Conduct for Certified Public Account- 
ants; or 
(4) had an application for any license denied 
or been disciplined by any state or 
federal agency. 
(j2 Two recent photographs are required 
(nonnalh' taken within the last six months). 
I'he photograph should be of the applicant 
alone. 2x2 inches in size, with an image siz.e 
from bottom of chin to top of head (includmg 



517 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



hair) of between \_ and 1-3/8 inches. Pictures 
should he "Passport" quality and able to 
withstand a mounting temperature of 225 de- 
grees l^ahrcnheit. They may be in black and 
white or color. Snapshots and most vending 
machine prints are unacceptable. Applicants 
shall write their name on the back of their 
photos. 

(k) If an applicant's name has legally 
changed and is different from the name on any 
transcripts or other documents supplied to the 
hoard, then the applicant shall furnish copies 
of documents legally authorizing the name 
change. 



Statutoo' Authority G.S. 93-12(3); 93-12(4); 
93-/2(5). 

SECTION .0400 - EXPERIENCE 

.0401 GENERAL EXPERIENCE 
REQUIREMENTS 

(a) G.S. 93-12(5) lists experience requirements 
required of all applicants for a CPA certificate. 
21 NCAC 8F .0402 indicates the experience 
that is required prior to applying to take the 
CPA examination. 21 NCAC 8F .0409 de- 
scribes acceptable teaching experience. Super- 
vision in North ('arolina under the direct 
supervision of a CPA will be counted only for 
the period of time that the super\'isor was on 
active status. 

(b) A masters or more advanced degree i» 
accounting, ta* letw-; ocononiic!) e* buoinoGD 
adminiutrution from aft aucruditod coUogo ©f 
uni' i X'ri i ity as pro' i idu'd m 3+ NCAC r^ 
.0302(o) fftay be oubt . tilutod fof »«© year ©f the 
e xporit'noL ' requirement c . pooifiod tft ^ NCAC 
^ .01(11(1). Xe oth e r dogrooo may be used 
as a 'l ubiititutui i substitute for the experience 
requirement as provided by G.S. 93-12(5). 

fe) The board w^ acoopt 1,600 houro »f 
part timo e xporiiinco w^orkod ift a period wt- 
oooding 4-3 monthii as Ae cqui' i alont te- »fte 

totalo less thaft 1 .600 houro wtil eet- be ae- 
coptod by the board. A poroon working less 
than ^ houro pef week ohall be d ee m e d te- be 
woriiing part tim e . Tt. ' mporar>' omploymont 

(Ix^^xLX J^^^^iij^ 1 1 •.-» «-!.- 1 «-i n i ^ Vi j"i 1 1 re- ii f «-»-t .-. ^ji r^/-\f 11 t f-t ,-« I .- 
unrXTT rTTCTTTT II l.'l IVllICL, TT^T 1 1 \^f 1_1 1 L.) Vf k lll\Jl\J 1 'VI TT^^^Tv 

afi4 shall be counted » Mh 
(4) (c) Supervision shall mean having juris- 
diction (i.e. oversight authority) over the pro- 
cess of planning, coordinating, guiding, 
inspecting, controlling, and/or evaluating on a 
continuing basis the activities and accomplish- 
ments of the employees under his or her com- 
mand; having the power of direction and 



decision in implementing activities to meet the 
objectives of his or her stewardship; having 
authority delegated by higher management to 
hire, transfer, suspend, recall, promote, assign, 
or discharge an employee under his or her 
charge or to recommend such action through 
the proper administrative chain of command. 
Direct supervision shall mean the person su- 
pervised is next below in the usual line of au- 
thority or is in a staff position reporting to the 
supervisor. Direct supervision also means a 
clear-cut personal cormection to the employee 
being supervised, marked by a first-hand asso- 
ciation without an intervening position of in- 
fluence 

(d) Fmployment of less than 35 hours per 
week shall be deemed to be working part-time. 
I-.mplovment of 35 hours or more per week 
(including temporary employment) shall be 
counted in full. 

(c) One thousand six hundred hours of 
part-time experience worked in a period ex- 
ceeding 12 months is equivalent to one year 
of experience. The 1,600 hours shall not in- 
clude hours paid for sick leave, vacation leave, 
attending continuing education courses or 
other time not directly performing accounting 



(f) I'hirty-five hours of part-time experience 
under the direct supervision of a CPA shall 
count as one week of full-time experience. 
One week of full-time experience shall count 
as 35 hours of part-time experience. However, 
in no event shall any combination of experi- 
ence exceed 40 hours per week. 

Statuloty Authority G.S. 93-/2(3); 93-/2(5). 

SLBCIIAPTER 8G - PROFESSIONAL ETHICS 
AND CONDLCT 

SECTION .0100 - GENERAL PROVISION 

.01 10 INELIGIBILITY DUE TO VIOLATION 
OF ACCOUNTANCY ACT 

/Vny person who has engaged in conduct 
which the board determined constitutes a vio- 
lation of the North Carolina Accountancy Act, 
General Statutes Chapter 93 or the rules of 
professional conduct established by the board, 
shall may not be eligible to take the Certified 
Public Accountant Examination or receive the 
North Carolina certificate of qualification as a 
certified public accountant. 

Statutory Authority G.S. 93-/2(5). (9). 

SECTION .0200 - RESPONSIBILITIES TO 
CLIENTS AND COLLEAGUES 



NORTH CAROLINA REGISTER 



518 



PROPOSED RULES 



.0201 Al DITING STANDARDS 

(b) The Statements on Auditing Standards 
issued by the American Institute of Certified 
Public Accountants are hereby adopted by re- 
ference, as provided by G.S. 1508- 14(c), a* 
timend> * d through D e combor i^ 1986 and shall 
be considered generally accepted auditing 
standards for the purposes of 21 NCAC 8G 
.0201(a). 

Statutory! Authority G.S. 55B-I2; 93-/2(9). 

.0202 ACCOUNTING PRINCIPLES 

(c) The Statements of Financial Accounting 
Standards, together with those Accounting 
Research Bulletins and Accounting Principles 
Board Opinions which are not superseded by 
action of the Financial Accounting Standards 
Board, are hereby adopted by reference, as 
provided bv G.S. 150B-14(c). as amcndod 
through Docombor 44-r 1Q!;16 and shall be con- 
sidered generally accepted accounting princi- 
ples for the purposes of 21 NCAC 8G 
.0202(a). 

Statutory .Authority G.S. 55B-/2: 93-12(9). 

.0203 FORECASTS 

(c) The Statements on Standards for .-Vc- 
countants' Services on Prospective Financial 
Information issued by the American Institute 
of Certified Public Accountants are adopted 
by reference, as pro\ided by G.S. 15()B-14(c), 
a* amondod througli Decombor ^ 19^6 and 
shall be considered as the approved standards 
for services on prospective iinancial informa- 
tion for the purposes of 21 NCAC 8G 
.0203(b). 

Statutory Authority G.S. 55B-/2; 93-12(9). 

.0208 ACCOUNTING AND REVIEW 
SERVICES STANDARDS 

(b) The Statements on Standards for Ac- 
counting and Review Services issued by the 
/Vmerican Institute of Certified Public Ac- 
countants are hereby adopted by reference, as 
pro\ided bv G.S. 150B- 14(c). a* amended 
through Decombor ^ 19 ^ )6 and shall be con- 
sidered as the appro\ed standards for account- 
ing ;md review sen'ices for the purposes of 21 
NCAC 8G .0208(a). 

Statutory Authority G.S. 553-12: 93-12(9). 



.0209 MANAGEMENT ADVISORY 



SERVICES STANDARDS 

(b) The Statements on Standards for Man- 
agement Advisory Services issued by the 
American Institute of Certified Public Ac- 
countants are hereby adopted by reference, as 
provided by G.S. 150B- 14(c), as amondod 
through Docombor M-; 1986 and shall be con- 
sidered as the approved standards for manage- 
ment advisor) sen,'ices for the purposes of 21 
NCAC 8G .0209(a). 

Statutory Authority G.S. 558-12; 93-12(9). 

.0210 RESPONSIBILITIES IN TA.X 
PRACTICE 

(b) The Statements on Responsibilities in 
Tax Practice issued by the American Institute 
of Certified Public Accountants are hereby 
adopted by reference, as provided by G.S. 
1 SOB- 14(c). as amondod through Docombor ^ 
19y . 6 and shall be considered as the approved 
standards for tax services for the purposes of 
21 NCAC 8G .0210(a). 

Statutory Authority G.S. 55B-I2: 93-12(9). 

.0211 GOVERNMENTAL ACCOUNTING 
ST.\NDARDS 

(b) The Statements on Governmental Ac- 
counting and Financial Reporting Standards 
issued by the Governmental Accounting Stan- 
dards Board are hereby adopted by reference, 
as provided bv G.S. 1 SOB- 14(c), as amondod 
througli Docombor ^ 1986 and shaO be con- 
sidered as the approved standards for govern- 
mental accounting for the purposes of 21 
NCAC 8G .0211(a). 

Statutoty Authority G.S. 558-12; 93-12(9). 

.0212 ATTESTATION STANDARDS 

(b) The Statements on Standards for Attes- 
tation Engagements issued by the /Vmerican 
Institute of Certified Pubhc Accountants are 
hereby adopted by reference, as provided by 
G.S. 150B- 14(c), as amended through S e p 
tomber Hk 1986, and shall be considered 
attestation standards for the purposes of 21 
NCAC 8G .0212(a). 

Statutory Authority G.S. 558-12; 93-12(9). 

SECTION .0400 - CONTINUING 
PROFESSIONAL EDUCATION 

.0403 COURSE REQUIREMENTS 

(a) The following shall qualify as acceptable 
continuing education programs, provided the 
programs comply with the r . tandardii fof ap- 



519 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



pro' i 'al ef courooG aft4 programs CPE Program 
Standards set forth in these Rogulutions Rules: 
(1) Professional development programs of 
recognized national and state account- 
ing organizations; and 
Technical sessions at meetings of re- 
cognbxd national and state accounting 
organizations and their chapters; and 
Courses taken at colleges and universi- 
ties accredited by the Southern Associ- 
ation of Colleges and Schools, or 
comparable regional accrediting organ- 
izations; and 

Formal organized Ln-firm association of 
accounting firms education programs; 
and 

Fonnal correspondence courses; and 
Other programs or courses complying 
with the standards set forth in Rule 
.0404. 
(b) The board will maintain a list of sponsors 
which have agreed to conduct programs in ac- 
cordance with the standards set forth in these 
rogulationf i Rules. Sponsors shall indicate 
agreement by signing a CVE program sponsor 
agreement form provided by the board. Such 
an agreement shall pro\ide the board authority 
to audit courses offered by the sponsor to de- 
termine if the sponsor is complying vsith the 
terms of the agreement. failure to comply 
with the terms of the sponsor agreement shall 
be grounds for the board's termmation of the 
agreement, remo\ 



(2) 



(3) 



(4) 



(5) 
(6) 



name from 



al of tjie CT 
the listing described 



spon.sor s 
this Rule 



and notifying the public of this action. 

(c) Sponsors that are appro\"ed and listed in 
good standing on the National Registry of 
CPE sponsors maintained by the National 
Association of State Boards of Accountancy 
shall qualify as acceptable CPE, sponsors. 
CPE sponsors listed on the NASBA Registry 
do not need to sign agreements with the board 
as discussed in (b} of this Rule. 

Statutory Authority G.S. 93-12(8b); 150B-I4. 

.0404 CPE PROGRAM STAND.ARDS 

(2) Standards for program presentation: 
(f) Effective January j^ 1990, CPE course 
sponsors shall provide persons com- 
pleting course requirements with a cer- 
tificate of completion indicating the 
participant's name, the name of the 
course, the date(s) the course was held, 
the sponsor's name and address, and 
the number of CPE hours awarded and 
calculated in accordance with the Stan- 



dards for Program measurement. Al- 
though the course sponsor has the 
responsibility for preparing and main- 
taining documentation mdicating a 
CPA has properly completed a course, 
the CPA is ultimately held responsible 
for maintaining the certificates of com- 
pletion. 
(3) Standards for program measurement: 
(e) Credit may be obtained for both teach- 
ing a CPE course and pubUshing an 
article or book which may be used in 
the course taught. However, publishing 
means having the item printed in a 
bona fide publication of general circu- 
lation or in bound form, with a proper 
copyright cind intended for general dis- 
tribution. 

Statutory Authority G.S. 93-I2(8b). 

SUBCHAPTER 8H - RECIPROCITY 

.0001 RECIPROCAL CERTIFICATES 

(c) If an apphcant for a reciprocal certificate 
does not meet all of the current requirements 
imposed on an applicant for original certificate, 
then the board will consider the following re- 
quirements to be substantially equivalent to 
the requirements established by G.S. 93-12 if 
all are met. 

( 1 ) The apphcant has the unrestricted priv- 
ilege to use the Certified Pubhc Ac- 
countant title and to practice pubhc 
accountancy in any state or territory of 
the United States, or the District of 
Columbia. 

(2) The applicant has had four years of ex- 
perience in the praotico «rf pubhc ae- 
oountancy aftor paooing the Uniform 
C Py\ Examination field of accounting 
under the direct supervision of a certi- 
fied pubhc accountant who held a vahd 
hcense during the period of super\'ision 
in any state or territory of the United 
States or the District of Columbia and 
within ten years immediately preceding 
the fding date of hi« the apphcation; or 
ten years experience in the field of ac- 
counting, or ten years experience 
teaching accounting in compliance with 
2J_ NCAC 8F .0409. or an^ combina- 
tion of such experience, and within 
twelve years immediately preceding the 
fihng date of the apphcation. 

(3) Ihe apphcant shall have received a score 

of at least 75 on each part of the L'ni- 
form CPA Examination. 



NORTH CAROLINA REGISTER 



520 



PROPOSED RULES 



(4) If the applicant received the CPA cer- 
tificate referred to in (1) of this Rule 
more than four years prior to the filing 
date of his application, then the appli- 
cant shall provide evidence of com- 
pletion of at least 80 hours of 
continuing professional education, in 
courses meeting the requirements of 21 
NCAC 8G .0404, during the two years 
preceding the filing date of his applica- 
tion. 

Statutory Authority G.S. 93-12(6). 

SLBCH AFTER 8J - RENEWALS AND 
REGISTRATIONS 

.0002 SLPERMSION AND REGISTR.4TION 
OF CI'A OFFICES 

(a) Every office of a certified public account- 
ant or firm of certified public accountants m 
A<* public practice ef accountancy in North 
Carolina which w^e uses any words, letters, 
abbreviations, symbols or other means of 
identification to indicate that the office is en- 
gaged in the practice of public accountancy 
accounting a* a CL'rtifiod public accountant 
shall be actively and locally supervised by a 
certified pubhc accountant whose primap,' re- 
sponsibility and a corresponding amount of 
time shall be work performed in that office. 
No person shall be designated as the inanagL ' r 
supervisor of any such office unless he is the 
holder of a North Carolina certified public ac- 
countant certificate in good standmg. 
(b) Fach indi\idual practitioner or office su- 
pervisor shall file an otfice registration form 
with the board's otfice bv December 31 of each 
year, indicating the name of the otfice supervi- 



sor, the location of the otfice and the telephone 
number of each office maintained within 
North Carolina. 



(c) Changes in the abo\'c information shall 
be delivered to the board oftice within 15 days 
after the change occurs. 



(d) One representative of the firm may file all 
documents with the board on behalf of all firm 
offices m North Carolina: howe\er, res pon si- 



bihtv for compliance will remain with each in- 
di\'idual practitioner, partner or shareholder. 

Statutory Authority G.S. 93-l2(8a): 93-12(9). 

■k-k^-k-k-k-k-k-k-k-k-k-k-k-k-k 



Jyotice is hercbv gi\en in accordance with G.S. 
I SOB- 1 2 that the State Board of Certified Pub- 



lic Accountant Examiners intends to adopt, 
amend, and repeal regulations cited as 21 
SCAC8A .0308; 8G .0/07; .0205; .0302; .0305 
and .0306. 

1 he proposed effective date of this action is 
April I, 1988. 

1 he public hearing will be conducted at 9:00 
a. m. on January 9, 1988 at North Raleigh 
Hilton, 3415 Old Wake Forest Road, Raleigh, 
N. C. 27609, Telephone {919) 872-2323. 

(comment Procedures: Any person interested 
in these rules may present oral comments rele- 
vant to the action proposed at the public rule- 
making hearing or deliver written comments to 
the board office not later than noon on Friday, 
January 8, 1988. Anyone planning to attend the 
hearing should notify the Executive Director at 
the board offices by noon on Wednesday, De- 
cember 30, 1987 , whether they wish to speak on 
the proposal and whether they will speak in fa- 
vor of the proposal or against it. Oral presen- 
tations will be limited to 20 minutes per 
speaker. 

CHAPTER 8 - HOARD OF CERTIFIED 
PLBLIC ACCOUNTANT EXAMINERS 

SI BCIIAPTER 8A - DEPARTMENTAL RLLES 

SECTION .0300 - DEFINITIONS 

.0308 HOLDING OUT TO THE PUBLIC 

(a) Fhe phrase "holds himself out to the 
public as a certified public accountant," as 
used in the definition of "public practice of 
accountancy" in G.S. 93- 1(a)(5) and in these 
Rules, means any representation that a person 
holds a certificate of qualification, made in 
connection with an offer to perform or the 
performance of services for the public. Any 
such representation is presumed to invite the 
public to rely upon the professional skills im- 
plied by the certificate in connection with the 
professional services offered to be performed 
by the licensee. For purposes of this Rule, a 
representation shall be deemed to include any 
oral or written communication conveying the 
fact that the hcensee holds a certificate, in- 
cluding without limitation the use of titles or 
legends on letterheads, reports, business cards, 
brochures, resumes, otfice signs, telephone di- 
rectory or any other advertisements, news arti- 
cles, publications, listings, tax retum 
signatures, and signatures on experience or 
character affidayits for exam or certificate ap- 



521 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



plicants, displayed membership in CPA asso- 
ciations, displayed CPA licenses from this or 
any other state, displayed certificates or li- 
censes from other organizations which have 
the designation "CPA" or "Certified Public 
Accountant" by one's name. 

(b) A faculty member is not considered to 
be in the pubhc practice of accountancy when 
one uses the title "certified pubUc accountant" 
for identification as a faculty member in an 
educational institution, for purposes of func- 
tioning in the capacity as such a faculty mem- 
ber. 

(c) An author is not considered to be in the 
public practice of accountancy when one uses 
the title "certified public accountant" for iden- 
tification as the author of a book, article or 
other publication, provided that such publica- 
tion does not offer the performance of services, 
or the sale of products (other than a book, ar- 
ticle or other publication) of any kind. 

(d) A licensee is not considered to be in the 
public practice of accountancy when one's li- 
censure is pubhshed in licensee or society 
membership directories, or included in the sale 
of mailing labels, or when licensure or mem- 
bership status is confirmed. 

Statutory Authority G.S. 93-1 (a)(5); 93-/2. 

SUBCHAPTER 8G - PROFESSIONAL ETHICS 
AND CONDUCT 

SECTION .0100 - GENERAL PROVISIONS 

.0107 INDEPENDENCE 

fa^ A certifiod public accountant, e* a 6ff» 
©f svliich he is a partner »f shar^'holdor, ohaU 
set- ojiprooD a» opinion ©«• financial otatomonto 
ef aft L ' ntL'r^inL ' L' unk * ! .!. h» aft4 hts firm afe m- 
d e pondunt with roopoot fre- such ontorprioo. 

{hj IndL'pL'ndL ' noo wiii be conoidnrod te be 
impairod ^ fop oxamplo: 

ft^ During t+H* period ef hi« profonsional 

omrrrsr^TrTT^TTTy err crc 1 1 1^ 1 1 1 1 1 1^ ttt \j i\.i.' i yjjuiiiz^ 

his opinion, be ef h» firm: 

\it./ 1 lUU \J I TTTTTT K.'\J 1 1 LI I 111 1 V. U I kJ IX\.^J \JIX\J UI ir 

dirt'ct e* material indir e ct financial ifi- 
toroot m the enteqirise; »f 
f&l was a truuteo ef afty truj^ i t et e x e cutor 
e* adminititrator ef any L ' utato if auch 

aoquiro aw- direct ef material indirect 
financial intoroot ift the onturprino; ef 
fG) ha4 afty joint olosoly heW buf i inooo 
m' i 'ootmont with the ontorprioo ef tmy 
ofTicor. dir e ctor ef principal otockholdor 



thoroof which was material m relation 
(» his ef his fu-m's net worth; »f 

r i_^ r iiuu nil T ^CTt^re lu \j\ 1 1 \Ti 1 1 11 ID \ji I lyjTTmrfv 

ef afty offioor, director ef principal 
Gtoolcholder thoroof; this lattor pfe- 
ooription dees net apply te the follow 
ing loano from a fmanoiol institution 
when mado under normal lending pfe- 
codureo, termo aft4 requirements: 
(+f loans obtain e d by hi«» »f his fi«» 
which afe net- material i» r e lation te 
the Ret- worth ef such borrower; 

(4i) homo mortgag e s; ef 

(iii) other secured loans, oxcopt loans 
guaranteed by his fiH» which ate other 
wise unsecured. 
(5) During the period covered by the fman 
eiat statements, during the period ef the 
professional engagement ef at- the tif»e 

trr ^ 1 V L," I t. iJ U 1_1 1 1^ CTTT tTTTTinTTTT^ I W ITI Fn^ rTTTTTT 

fA-^ was connected with the enterprise as 
a promoter, under . vriter »f voting trus 
teey a director »f officer ©f ift aey ea- 
pacity equivalent te- that- ef a memb e r 
©f management »* »f aft employee; ©f 
(4if was a trust ee fef any pension ©f pro 
fit sharing trust ©f the enterprise. 
fei The examples ift this Rule afe ft©t- ift- 
tended te- be uU niclusi' i e. 

(a) A licensee who is performing an engage- 
ment in which the licen.see will issue a report 
on fmancial statements of anv client (other 
than a report in which lack of independence is 
disclosed) must be independent with respect to 
the cUent in fact and appearance. 

(b) Independence wiU be considered to be 
impaired if^ for example, during the period of 
his professional engagement, or at the time of 
issuiuK his report, the licensee: 

(A) had or was committed to acquire any 
direct or material indirect financial in- 
terest in the cUent; or 

(B) was a trustee of any trust or executor 
or administrator of any estate if such 



trust or estate had or was committed to 
acquire any direct or material indirect 
financial interest in the client; or 

(2) had anv joint or closely-held business 
investment with the client or any offi- 
cer, director or principal stockholder 
thereof which was material in relation 
to the net worth of either the client or 
the licensee; or 

(3) had any loan to or from the client or 
any officer, director or principal stock- 
holder thereof other than loans of the 
following kinds made b>' a financial in- 



NORTH CAROLINA REGISTER 



522 



PROPOSED RULES 



stilution under normal lending proce- 
dures, terms and requirements: 
(A) loans obtained by the licensee which 
are not material in relation to the net 
worth of the borrower: 



(B) home mortgages; and 

(C) other secured loans, except those se- 
cured solely by a guarantee of the li^ 
censee. 

(c) Independence will also be considered to 
be impaired IT dunng the penod covered by 
the tinancial statements, during the period of 
the professional engagement or at the time of 
issuing his report, the licensee: 

( 1) was connected with the client as a pro 



01 

01 



moter, underwriter or voting trustee, a 
director or olTicer or in any capacity 
equhalent to that of a member of 
management or of an employee; or 
was a trustee for any pension or pro- 
ht-sharmg trust of the client: or 
received from a third party, or had a 
commitment to receive from the client 
or a third party, with respect to services 
or products procured or to be procured 
by the client, other compensation 
which was material in relation to the 
aggregate normally - rccumng fees 
changed annually to tne client for re- 
ports on tinancial statements during the 
same penod; or 
(4) had a commitment from the client for 
a contingent fee . unless the contingent 
fee was clearh' immatenal in relation to 
the aizgregate normally - recurring fees 
charged annually to the client for re- 
ports on financial statements during the 
same penod. For this purpose, a con- 
tingent fee means compensation for the 
pertbmiances of services pa\ment of 
which, or the amount of which, is con- 
tingent upon the findings or results of 
such services, 
(d) 1 he examples in this Rule arc not m- 
tended to be all-inclusive. 



Statutory Authority G.S. 55B-I2: 93-12(9). 

SECTION .0200 - RESPONSIBILrTIES TO 
CLIENTS AND COLLEAGL ES 

.0205 ( ON riNGENT FEES (REPEALED) 

Statuloiy Authority G.S. 55B-I2; 93-12(9). 

SECTION .0300 - OTHER RESPONSIBILTIES 



.0302 COMMISSIONS AND OTHER 
COMPENSATION 

A oertifiod public accountant ohall net pay a 
commiooion te obtain a cli e nt, Ref shall h» 
acc e pt a oommisoion fof a roforral to a cliont 
ef products ef oonio e s ef othoro. ¥fe»« Rulo 
shall set- prohibit paymontu fo* tfe# purchaoo 
»f a» accounting practic e »f rotiromunt pay 
monts to indi' i 'iduals fonnorly engaged wt Ae 
practice frf public accounting ef payments to 
their heirs Bf estates. 

(a) A certified public accountant shall not 
pay a commission to a third party to obtain a 
client unless, prior to being engaged by such 
client, the licensee discloses to the client in 
writing the fact and the amount of such com- 



(b) A licensee who receives or a.grees to re- 
ceive other compensation with respect to ser- 
vices or products recommended, referred or 
sold by him to another person shall, no later 
than the making of such recommendation, re- 
ferral or sale, make the following disclosures to 
such other person in writing: 

(1 ) if the other person is a client, the nature, 
source and amount of all such other 
compensation; and 

(2) if the other person is not a client, the 
nature and source only of any such 
other compensation received from a 
third party. Ihe disclosure required by 
this Rule shall be made regardless of the 
amount of the other compensation in- 
volved. 

(c) This Rule does not apply to payments 
made by a licensee for the purchase of or re- 
ceived from the sale of aU^ or a material part, 
or an accounting practice or to retirement 
payments to persons formerly engaged in the 
practice of public accountancy or payments to 
their heirs or estates. 

Statutory Authority G.S. 55B-/2; 93-/2(9. 

.0305 NAME OR STYLE OF A PRACTICE 
(REPEALED) 

Statutory Authority G.S. 55B-/2; 93-12(9). 

.0306 FIRM NAME OR STYLE OF A 
PRACTICE 

A certified public accountant shall ftet proc 
U^^ under a nam e ef style ef practic e other 
than hi* own name ef Aat- ef hi* inactive ef 
dec e ased partners »f shareholders wb» ' ■ ' ■ 'ore 
certifi e d public accountants. Howder, names 
ef BVi^ (*f mor e past- partners Bf shareholders 
may bt» included m Ae &««• name ef a succos 
se* partnership m- corporation. A partner »f 



52i 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



oharL'hold e r oun'iving Ae d e ath %f >' i 'ithdrawal 

practice undor Ae partnorehip ef professional 
a ' joociation nam e fof Hp te- ^ve years aftor be- 
coming a sek* practitionor. 

(a) A certified puhlic accountant shall not 
practice public accountancy using a name or 
designation that is misleading about the legal 
form of the firm, or about the persons who are 
partners, officers, or shareholders of the firm, 
or about any other matters, provided, however, 
that names of one or more past partners or 
shareholders may be included in the firm name 
of a successor partnership or corporation. 

(b) It shall not be deemed misleading for a 
partner or shareholder surviving the death or 
withdrawal of all partners or shareholders to 
continue to practice under the partnership or 
professional association name for up to two 
\ears after becoming a sole practitioner. 

(c) No firm ha\ing only one owner licensed 
as a certified public accountant bv the board 
may ha\e as a part of its name the words "as- 
sociates," "company" or their abbreviations. 

Statutory Authority G.S. 55B-J2; 93-12(9). 



i V otice is hereby given in accordance with G.S. 
I SOB- 1 2 that the N.C. Board for Licensing of 
Geologists intends to amend regulations cited 
as 21 NCAC 21 .0106(7); .0107(5 )( 10); 
.0301 (b)(f); and .0302(f). 

I he proposed effective date of this action is 
March I, I9SS. 

1 he public hearing will be conducted at 10:00 
a.m. on December 18, 1987 at 5th Floor Con- 
ference Room, Archdale Building, Land Re- 
sources Division, 512 N. Salisbury Street, 
Raleigh. N. C. 27611. 



Co 



ommenl Procedures: Interested persons 
may present their views either orally or in writ- 
ing at the hearing. In addition, the record of 
the hearing will be open for receipt of written 
comments from November 17, 1987, to 5:00 
p.m. on December 17, 1987. Such written 
comments must be deH\'ered or mailed to 
Stephen Conrad, N. C. Board of Licensing for 
Geologists. 5/2 N. Salisbury St., Raleigh, A'. 
C. 27611. 



CHAPTER 21 - GEOLOGISTS 

SECTION .0100 - STATUTORY AND 
ADMINISTRATIVE PROVISIONS 

.0106 FORMS 

Forms used by the board, and available from 
the board office upon request, include the fol- 
lowing: 

(1) Application for Licensing as a Geologist, 

(2) Application for Examination, 

(3) Application for License by Reciprocity, 

(4) Application for Renewal of License, 

(5) Application for Replacement of License, 
and 

(6) Application for Reinstatement of Li- 
cense. 

f?) Application fef Geologist m Training. 

Statutory Authority G.S. 89E-8; 89E-10; 
89E-1I; S9E-12(a)'; 89E-I2(b). 

.0107 FEES 

(a) Completed application forms must be 
accompanied by the prescribed fee. Apphca- 
tion fees will not be refunded regardless of 
board approval or disapproval of the apphca- 
tion. Prescribed apphcation fees shall be: 



(I) 

(2) 
(3) 
(4) 

(6) 



application forms, including a 

copy of the Act and Rules: $ 5.00 

application for license: $50.00 

admission to examination: $25.00 

application for reciprocit) : $50.00 

amiual r e n e wal ef Uconso: $35.00; 

biennial renewal of license: $70.00 
biennial renewal of license 



of N. C. resident geologists 
practicing less than 15 days 
per year: $15.00 $30.00 

(7) application for replacement of 
hcense: $10.00 

(8) application for reinstatement 

of license: $50.00 

(9) licensed geologist stamp and 

seal: cost -I- $ 5.00 

f4-0) application fof geologist i» 

training: $35.00 

(b) If the applicant is approved for admission 
to the examination, the candidate will be ad- 
mitted to the examination upon payment in 
advance of an examination fee. 

(c) AH hcenses will expire annually biennially 
on July 1. Annual Biennial renewal fees re- 
ceived after July 1 and before September 1 of 
each the year due shall be subject to the as- 
sessment of a late payment penalty of ten dol- 
lars ($10.00). 

(d) Licenses that have not been renewed by 
September 1st may only be renewed by filing 



.. 



NORTH CAROLIN.A REGISTER 



524 



PROPOSED RULES 



a reinstatement application and submitting a 
reinstatement fee. 

Statutory Authority G.S. 89E-5(g); 89E-12. 

SECTION .0300 - LICENSING OF 
GEOLOGISTS 

.0301 REQUIREMENTS FOR LICENSING 

(a) Fducation - In detcnnining whether an 
applicant meets the mimmum education re- 
quirements of the act, the board is authorized 
to determine which colleges and universities 
are properly accredited, and which geologic 
science courses qualify for meeting the mini- 
mum requirements. 

fb-)- nxpcriL ' nc e - A4- I t just go von yoars &f pro 
foL i' - ' ional goologioal ' ■ sork af* required " i vhich 
i i hall inoludij a minunum »t thr ee y e ars trf 
profi.H i' : . ional geological work under th« super 
■ ■ ir . ion ef a qualtiied geologist, Bf a nunimum 
©4" throe cumulati' i o yoaro work » responsible 
charge ©f geological svork satisfactory te tfe» 
board. 4-he foUowmg criteria »f education aft4 
e.xporience qualify a^ specifi e d to ' ■ sard accu 
mulation e4 t+K* required sesen years e+ pro 
f e osional geological work: 

f+i Fach fatt yeaf t»f und e rgraduat e study ift 
t^ geologici-d sciencL s j' hall count as 
one half year rf training «f* k» a ma.xi 
mum e4 Hve years. aft4 each yt»af e>f 
graduat e study shall count as »«* yeaf 
ef work. 
(-2) Credit fef undergraduate study, graduate 
study, graduate courses, mdi' i iduaUy e* 
i» aftv combination thereof, shall i«- h© 
ease OKceod a total »f fe«f years toward 
meeting Ae requirements fof at- least 
s e sen y e ars »f professional geologioal 
work as set- forth i» tfeis Rul e . 
{4>} ^4*e board may consider m- l+tHt ef pro 
fei i'. ional geological work, tfee oumula 
ti¥e total »f geological ' i vork ef 
goo logical research ef persons t e aching 
upper lo' i ol geology courses at- th<» &»1- 
lege evf unis'ersity level, provided such 
V i 'ork Bf research eaft be demonstrated 
to be ef a sufficiently responsible nature 
te b«» equivalent to th<* professional fe- 
quirements described herein. 
f-H -fte ability »f tth* applicant shaU have 
been demonstrated by- bts basing pef- 
lormed tlw ss - ork ift a responsible posi 
t+eft as detennined by- tite board. 
fe+ rb| References - Three letters of reference 
submitted to the board which shall satisfy the 
board as to the character, reputation, respon- 
sibility, integrity and competence of the appli- 



cant. These letters of reference must be 
submitted by licensed or qualified geologists 
or professional engineers. No member of the 
board shall act as a reference for any applicant 
for licensing. 

(4^ (c} Written Examination - A written ex- 
amination approved by the board shall be re- 
quired of all appbcants after August 15, 1986. 
The passing grade on any written examination 
for Ucensing shall be established by the board. 
The applicant shall be notified, not less than 
30 days before the examination, as to the time 
and place of the examination. A person who 
has failed an examination is allowed to take the 
examination again at the next regularly sched- 
uled examination period. A person having a 
record of three failures and/or unexcused ab- 
sences will not be allowed to take that exam- 
ination again until a written appeal is made to 
the board and qualifications for examination 
are reviewed and realTirmed by the board. The 
applicant must demonstrate to the board that 
actions have been taken to improve the apph- 
cant's possibUity of passing the exam. 

<r^ (dj Certificate by reciprocity: 

(1) The board, within its discretion, may 
grant a license, by reciprocity, to a per- 
son holding a license or certificate in 
good standing of registration in geology 
from any legally constituted board of 
examiners in another state whose h- 
censing, registration and requirements 
are deemed to be equal or equi\alent to 
those of this state. 

(2) To assure that the requirements of the 
other state are at least equivalent to 
those of this state, the applicant shall 
be required to show evidence of educa- 
tion and experience equal to those re- 
quired of geologists licensed in this state 
who seek a license by examination as 
set out m Rules .0301 and .0302 of this 
Section. 

(3) If a person is duly licensed to practice 

geology in another state where the re- 
quirements for a license, or certificate, 
are not lower than those specified by 
the board, that person may practice 
geology in this state provided such 
practice does not exceed more than 90 
days in any one calendar year; and pro- 
\ ided that such person shall fde with the 
board within ten days of entering this 
state for commencing of such work, a 
statement giving liis name, residence, 
the number of his license, and by what 
authority issued, and upon the com- 
pletion of the work, a statement of the 



3i.-) 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



time engaged in such work within the 
state. 
(4) The board may issue a provisional li- 
cense to practice geology in the state to 
a person who has recently become a 
resident here or if he is licensed in an- 
other state or qualified as defined her- 
ein, if he shall have filed with the board 
an application for a license and shall 
have paid the required fee. 
{¥j Goologiot in training - A person wW feife 
i» moot th«» minimum goologic oxpononco Fe- 

wbe paoiioo Ae oxamination ef Rule .Q3Ql(d) 
»f Ais S e ction wiH be issued a l e tter from ^h© 
board indicating tbat- be i* a Goologist In 
Training. 

Statutory Authority G.S. S9E-7(2)(3) 89E-1I. 

.0302 APPLICATION PROCEDURE 

(a) All applicants for licensing, except those 
applying under comity, are required to furnish 
with their applications the following: 

(1) A legible otTicial copy of their college 
tran5cript(s), and verification of gradu- 
ation sent directly from the institution 
to the board; 

(2) A record of experience in the practice 
of geology; 

(3) Three references as dcfuied in Rule 
.0301(c) of this Section; 

(4) A notarized copy of a completed appli- 
cation form as prescribed by the board; 
and 

(5) The application fee as prescribed in 
Rule .0107(a) of this Chapter. 

(b) If an examination is required, the board 
shall notify the applicant in writing at least 30 
days in advance of the time and location of the 
examination. 

(c) Applicants for licensing under comity 
shall submit an application form as prescribed 
by the board alone with the fee as provided in 
Rule .0107(a)(4) of this Chapter. The board 
may require the submittal of additional infor- 
mation. 

(d) Applicants for reinstatement of an ex- 
pired license shall submit a reinstatement ap- 
plication and the prescribed fee. 

(e) Applicants for reinstatement of a revoked 
or suspended license shall submit such infor- 
mation as is required by the board, on a case- 
by-case basis, to determine his eligibility for 
reinstatement, and shall submit the fee as pro- 
vided by Rule .0107(a)(8) of this Chapter. 

(i^ Applicants fof Goologiot in training shall 
s ubmit aU application materials afi4 fee* Fe- 



quir e d fof application for lioonoing. Upon 
passing aft oxamination, tlw board shall issuo 
a Geologist in training lottor te th« applicant. 
Upon completion ef tbe minimum oxporionco 
requirem e nts »f Pvul e .03Ql(b) ef tbie Section 
tfe<» applicant H*ay submit a» application fof 
licens e . U the board fmds tfeat tke applicant 

tfee applicant shall be issued a liconso. 

fe) (il Applicants for renewal of Ucense who 
practice geology less than 15 days per year 
must submit a notarized affidavit that they 
have practiced geology in North Carolina less 
than 1 5 days during the past year and that they 
will practice less than 15 days in each of the 
coming two yeaf years. If a hcensed geologist 
in fact practices 15 or more days per year in 
North Carolina, he shall submit to the board 
the balance of the fee prescribed for fuU li- 
censing in Rule .0107(a)(5) of this Chapter. 

Statutory Authority G.S. 89E-8. 

**************** 



A^. 



otice is hereby given in accordance with G.S. 
I SOB- 1 2 that the State Board of Refrigeration 
Examiners intends to adopt, amend, repeal re- 
gulations cited as 21 NCAC 60 .0102; .0/03; 
.0205; .0207; .0208; .0301; .0302; .0303; 
.0305; .0309; .031 J; .0312; .0401; .0402; .0403; 
.0404; .1103 and .1104. 

1 he proposed effective date of this action is 

February I, 1987. 

1 he public hearing will be conducted at 1 1 .00 
a.m. on December 18, 1987 at the Board Office, 
323 West Morgan Street, Suite 107 , Raleigh, 
North Carolina. 



Co 



omment Procedures: Written comments 
may be mailed to State Board of Refrigeration 
E.xaminers, P. O. Box 10553, Raleigh, North 
Carolina 27605. 



CHAPTER 60 - BOARD OF REFRIGERATION 
EXAMINERS 

SECTION .0100 - ORGANIZATION 

.0102 OFFICE OF THE BOARD 

The board's office is located at 323 West 
Morgan Street, Raleigh, North Carolina. The 
board's mailing address is P. O. Box 10553, 
Raleigh, North Carolina 27605. T4*e board's 



NORTH CAROLINA REGISTER 



526 



PROPOSED RULES 



otficii hours afe from fe40 a.m. t» 13:00 noon. 
The board's rules are available for inspection 
at this otTice during regular oflice hours. The 
materials used in rule making decisions wUI be 
available for inspection at said oflice. 

Slalutoiy Authority G.S. 87-54: 150B-I0. 

.010? Rl I EM.\KING AND ADMINISTRATIVE 
IlKARING I'ROCEDl RE 

(a) The -Xlodt ^ l Adminiiitrativo Procodurou fef 
Ruk' Making aft4 Hearings, codified as Titlo 
Hr; Subchaptoro 24i- a«4 3G ef the North G*- 
rolinu Administrutiv e Codo, uffoctivo Soptcm 
bef 3Ar l'> ^( ). *H* her e by adopted by reference. 
te applying H NCAC 3t Subchapt e rs i^ aft4 
2Gt te tbis board. tb» defuiitions contained if* 
^ NCAC 4Wa5 4»ii app^rr a* modified bef- 

(4-^ "Agency" means tbe Board ©f Refriger 

ation li ' )uiininors, 
(3+ "Agency address" 

means: 

Board ef Refngoralion IJ.\aminers 

Ral ei gli, North Carolina 27605 
f^ "Agency h e ad" 

fA^ i« a context relating te- suhstantii i e 
decisitm making authority, ef final 
agency decision ;. , "agency head ' means 
ti+e Board. 
fB-^ ift a cont e st granting administrative 
authority, "agency head" means tb» 
nneoutive Secretary. 
Administrati\e I tearing Procedures as set 
forth in Article 3A of Chapter 1500 of the 
General Statutes of North Carolina as 
amended by Chapter 87S, Session kaws of 
19S7 will be followed. 

(b) Copies »f 55 NCAC Subchapters 2 Band 
aC^T aftd 55 NCAC M- 4400^ may be inspected 
m t+*e Office ef tbe Board «4- Pk^ e frig e ration 
Examiners, m West Morgan Street, Raleigli, 
North C^arolina. Copies stay be obtained from 
tbe board e+ fr()m tbe Admini ' . . trativ e Proc e 
dures Section ef the Attorney General's Offic e , 
■W Ear . t Jones Street, Pv.aleigli, North Carolina, 
fof a charge ef fo«f dollars (S ' l.OO). Rule- 
■Makiniz Procedures as set forth in Article 2 of 
Chapter 150B of the General Statutes of North 
Carolina, as amended bv Chapter 285. Session 
I aus of 1987 will be followed. 

(c) With respect to rules go\eming the con- 
duct ot hearings, the rules establishing proce- 
dures for contested cases adopted by the Office 
of Administrati\'e 1 learings as contained in Tii 
tie 26, Chapter 3 of the North Carolina Ad- 
ministrative Code arc hereby adopted bv 



reference, as provided for in G.S. 1508- 14(c), 
for contested cases for which this agency has 
authority to adopt rules under G.S. 
150B-38(h). Provided, however, that if the 
case is conducted under G.S. 15QB-4Q(b), the 
presiding oflicer shall have the powers and du- 
ties given to the Chief Administrative Law 
Judge of the presiding Administrative Law 
Judge in Title 26. Chapter 3 of the North Ca- 
rolina Administrative Code and that 26 NCAC 
3 .0001(2); .0002(a)(1); .0003(b); .0025; and 



.0026 shall not apply. 

Statutory Authority G.S. 87-54; I50B-38 et 
seq.; I50B-9 et seq.; l50B-38(h); 

I50B-I4(a)(4). 

SECTION .0200 - EXAMINATIONS 

.0205 RENEWAL AND REINST.\TEMENT 
FEES (REPEALED) 

Statutory Authority G.S. 87-54; 87-64. 

.0207 REQUIREMENTS FOR EXAMINATION 
APPLICANTS 

(a) An applicant shall be eligible to take the 
examination upon: 

(1) Piling with the board an application, on 
a fonn provided by the board, together 
with the combined examination hcense 
fee. This fee is to be refunded to an 
applicant only if his application is 
withdrawn at least two business days 
prior to the scheduled examination. 

(2) Including on his application form satis- 
factory verification that he is at least 
eighteen years of age. 

(3) Furnishing with his application infor- 
mation satisfactorily verifying that he 
has acquired at least 2000 hours of re- 
frigeration experience gained while en- 
gaged actively and directly in the 
installation, maintenance, servicing and 
repairing of commercial, industrial or 
institutional refrigeration equipment. 
Qualifying experience must be acquired 
while working a minimum of 2000 
hours under the supervision of a person 
holding a valid refrigeration contractor's 
hcense, registered professional engineer 
or equivalent prior to filmg the appli- 
cation. 

(b) J he deadline for receipt of applications 
for a regular exammation shall be six weeks 
pnor to the examination date. If an applica- 
tion is recei\ed after the published deadline, it 
shall be returned to the applicant with his dc^ 



527 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



posit, and he shall be notified that he may ap- 
ply for and take the next examination. The 
board, at its discretion, may choose to waive 



this requirement in extenuating circumstances. 
(c) If a person files an application for e.xam- 
ination which is accepted, takes and fails the 
examination, his verification of refrigeration 
experience is kept and is sufficient for taking 
any future examination, provided he files an- 
other application accompanied by the required 
fee. 

Statutory Authority G.S. 87-54; 87-57; 87-58; 
87-64; 93B-9; 94-6; I50D-2; I50B-3; I50B-10. 

.0208 EXAMINATION REVIEW 

The board shall schedule an examination re- 
view session to be held approximately one 
month following notification of the results of 
each regular examination. This review session 
will be attended by at least two board members 
and will be the only review opportunity avail- 
able. All persons who fail the examination 
shall be notified of this review session. 

Statutoiy Authority G.S. 87-54; 87-58(d). 

SECTION .0300 - PI BLICATIONS AND 
FORMS 



(a) The qualifying license number of the li- 
censee shall appear on all permits as issued by 
a municipality. 

(b) A licensed contractor shall obtain permits 
and allow his number to appear on permits 
only for work over which he will provide gen- 
eral supervision until the completion of the 
work, and for which he holds the contract. 

Statutory Authority G.S. 87-54; 87-58(g). 

.0312 EXPIRATION OF LICENSES 

During the period of time an individual li- 
censed under G.S. 87, Article 5 is employed 
fuU time by a unit of local government as an 
inspector and holds a valid certificate from the 
North Carolina Code Officials Qualification 
Board, his license shall not be deemed expired 
for the purposes of reexamination under G.S. 
87-64, despite the non-payment of renewal 
fees; provided that this Rule does not authorize 
contracting within the meaning of G.S. 87-57 
by any individual licensee actively employed 
as an inspector as defined herein. 

Statutory Authority G.S. 87-54; 87-57; I50B-2; 
I50B-3. 

SECTION .0400 - BOARD PERSONNEL 



.0303 REFRIGERATION LAW: PLLG-IN 
DEMCES 

y li. J 1 1 II J t,' U IX 1 U l .^ 1 JJ I L L' , ITT CTTTTTTTCT rTTTTTTy KJKJ L' 11,' J 

ef A# Refrig e ration La ' ■ ' ■ ', G.S. &?7 jVrticlo &r 
A copy e( tfei* law is sefit te- each applicant (&f 
» rofrigoration oxamination aft4 te afty othor 
p e rfjono ' . ' ■ ho roquoot copion ©f &amo. 
(fe^ Only refrigeration appliances and equip- 
ment which are shipped from the manufacturer 
equipped or packaged with a cord and attach- 
ment plug suitable for plugging into perma- 
nently installed receptacles shall be defined as 
plug-in refrigeration equipment and exempt 
from the provisions of G.S. 87, .Article 5. 

Statutory Authority G.S. 87-54; 87-57; 87-58; 
!50B-II(2). 

.0301 REGISTER OF LICENSEES (REPEALED) 
.0302 DESCRIPTION OF FORMS (REPEALED) 
.0305 FORM: RENEWAL APPLICATION 

(REPEALED) 
.0309 FORM: REINSTATEMENT 

APPLICATION (REPEALED) 



Statutory Authority 
I50B-II; 150B-I1(I). 

.0311 PERMITS 



G.S. 87-54; 87-64; 



.0401 SUPERVISION OF STAFF (REPEALED) 
.0402 QUALIFICATIONS FOR EMPLOYMENT 

(REPEALED) 
.0403 SALARY RHVIEVV COMMITTEE 

(REPEALED) 
.0404 SALARY AND FRINGE BENEFITS 

(REPEALED) 

Statutory Authority G.S. 87-54; I50B-II; 
I50B-II(I). 

SECTION .1 100 - DISCIPLINARY ACTION 

.1103 PRELIMINARY DETERMINATION 

(f) After all preliminary evidence has been 
received by the review committee it shall make 
a preliminary determination of the charges filed 
against the refrigeration contractor. From the 
evidence it may recommend to the board that; 

(1) the charges be dismissed as unfounded, 
frivolous, trivial; or 

(2) when the charge is admitted by the re- 
spondent or the evidence warrants, the 
board r . hall accept the rof i pondont'o st4- 
miooion e4^ guilt aft4 may issue a repri- 
mand and order the respondent not to 
commit in the future the specific act or 
acts admitted by him to have been in 
violation of any of the provisions of 



NORTH CAROLINA REGISTER 



528 



PROPOSED RULES 



G.S. 87-59, 87-57, or 87-63. In con- 
nection with any such reprimand and 
subsequent order, the board may also 
provide that in the event the respondent 
is determined to have violated in the 
future any of the provisions of the 
aforementioned statutes, the board may 
suspend or revoke his license as pro- 
scribed by law. 
(4+ tb# chargo ef charge^ . , whether 
admitted ef denied, be presented te U^e 
foli Board fof hearing aft4 determi 
nation b¥ Ae Board »» t4*e merito ef 
the charge ef ohargeo m accordance 
witfe the substantive aft4 procedural Fe- 
quiremonts »f (j.S. S7 59 aft4 i'Vrticle ^ 
ef Chapt e r 150i\ ef the General Stat 
tries el^ North Carolina aft4 i\dminis 



tratis'Q Rul e s adopted by the Board 
pursuant thereto. 

Statutory Authority G.S. 87-57; 87-59; 87-63; 
I50B-II(I); I50B-22. 

.1104 JLDICI.AL REVIEW 

U the respondent Any person who is agg- 
rieved by the final decision of the board in a 
contested case as defined in Chapter 150B-T 
of the General Statutes he H»y appeal fof a 
judicial re' i 'i e w shall be entitled to Judicial Re- 
\iew as provided by yVrticle 4 ef Chapter 150A 
G.S. 150D-43 of the General Statutes of North 
Carolina. 

Statutory Authority G.S. 87-59; 87-63; 
I50B-II(I); 1508-43. 



529 



NORTH CAROLINA REGISTER 



FINAL RULES 



U pon request from the adopting agency, 
the text of rules will be published in this 
section. 

W hen the text of any adopted rule is 
identical to the text of that as proposed, 
adoption of the rule will be noted in the 
"List of Rules Affected" and the text of the 
adopted rule will not be republished. 

/l dopted rules filed by the Departments 
of Correction, Revenue and Transportation 
are published in this section. These de- 
partments are not subject to the provisions 
of G.S. I SOB. .Article 2 requiring publica- 
tion of proposed rules. 



TITLE 10 - DEPARTMENT OF HUMAN 
RKSOl R( ES 

CHAPTER 45 - NORTH CAROLINA DRUG 
COMMISSION 

SLBCHAPTER 45H - DRUG TREATMENT 
I ACUITIES 

SECTION .0200 - SCIIEDl I ES OF 
CONIROI I EI) SUBSTANCES 

.0202 SCHEDULE I 

(a) Schedule I shall consist of the drugs and 
other substances, by whatever official name, 
common or usual name, chemical name or 
brand name designated Usted in this Rule. 
Each drug or substance has been assigned the 
Drug Enforcement Administration controlled 
substances code number set forth 

(b) Opiates. Unless specifically excepted or 
unless listed in another schedule, any of the 
following opiates, including their isomers, es- 
ters, ethers, salts and salts of isomers, esters 
and ethers whenever the existence of such 
isomers, esters, ethers and salts is possible 
within the specific chemical designation: 

(1) Acetyl-alpha 9815 
-methylfentanyl (N-[l-(l- 
mcthyl-2-phenethyl)-4- 
piperidmyll-N- 

pheny lacetamide ) 

(2) Acetvlmethadol 9601 

(3) AUylprodine 9602 

(4) Alphacetylmethadol 9603 

(5) Alphameprodinc 9604 

(6) Alphamethadol 9605 

(7) Alpha-methylfentanyl 9814 



(N-|l-(alpha-methyl 
beta-phenyl) ethyl-4- 
piperidyl) propionanilide: 
1-(1 -methyl -2-phenylethyl) 
-4-(N-propanilido) 
piperidine) 

(8) Alpha-methylthiofentanyl 9832 
(N-|l-methyl-2-(2-thienyl) 
ethyl-4-piperidiny 1 ]-N- 
phenylpropan amide) 

(9) Benzethidine 9606 

(10) Betacetylmethadol 9607 

(11) Beta-hydro xyfentanyl 9830 
(N-| l-(2-hydroxy-2-phenethyl) 
-4-piperidinyl|-N- 

phenylpropan amide) 

(12) Betameprodine 9608 

(13) Betamethadol 9609 

(14) Betaprodine 9611 

(15) Clonitazene 9612 

(16) Dextromoramide 9613 

(17) Diampromide 9615 

(18) Diethylthiambutene 9616 

(19) Difenoxin 9168 

(20) Dimenoxadol 9617 

(21) Dimepheptanol 9618 

(22) Dimethylthiambutene 9619 

(23) Dioxaphetyl butyrate 9621 

(24) Dipipanone 9622 

(25) Ethyhnethylthiambutene 9623 

(26) Etonitazene 9624 

(27) Etoxeridine 9625 

(28) Furethidme 9626 

(29) Hydro xypethidine 9627 

(30) Ketobemidone 9628 

(31) Levomoramide 9629 

(32) Levophenacyknorphan 9631 

(33) 3- Methylfentanyl 9813 
(N-|-methyl-l-(2- 
phenylethyl)-4-piperidyl] 
-N-phenylpropan amide) 

(34) 3-methylthiofentanyl 9833 
(N-[(3-methyl- l-(2-thienyl) 
ethyl-4-piperidinyl)-N- 
phenylpropan amide) 

(35) l-methyl-4-phenyl-4- 9661 
propionoxypipcridine (MPPP) 

(36) l-(2-phenethyI)-4-phenyl 9663 
-4-acetoxy-piperidine 

(PEPAP) 

(37) Morpheridine 9632 
hydroxyfentanyl), its 

optical isomers, salts and 

(38) N-|l-(2-thienyl)methyl 9834 
-4-pipcridyll-N- 

phenylpropan amide 
(thenylfentanyl), its 
optical isomers, salts and 
salts of isomers 



NORTH CAROLINA REGISTER 



530 



FINAL RULES 



(39) N-[3-methyl-l-(2- 


9831 


hydroxy-2-phenyr)ethyl-4- 




pipL'ridyl|-N- 




phenylpropanamide (beta- 




hydro xy-3-methylfentanyl), 




its optical and geometric 




isomers, salts and salts 




of isomers 




(40) N-[ 1 -benzyl-4-piperidyl| 


9818 


-N-phenylpropanamide 




(benz>ifentanyl), its 




optical isomers, salts and 




salts of isomers 




(41) Noracymethadol 


9633 


(42) Norleyorphanol 


9634 


(43) Normethadone 


9635 


(44) Norpipanone 


9636 


(45) Para-fluorofentanyl 


9812 


(N-(4-fluorophenyl)-N-|l 




-(2-phenethyl)-4-piperidinyl] 




-propan amide) 




(46) Phenadoxone 


9637 


(47) Phenampromide 


9638 


(48) Phenomorphan 


9647 


(49) Phenopendine 


9641 


(50) Piritramide 


9642 


(51) Proheptazine 


9643 


(52) Properidine 


9644 


(53) Propirain 


9649 


(54) [<acemoramide 


9645 


(55) Thiofentanvl (N-phenvl-N 


9835 


-[l-(2-thienyl)ethyl-4- 




piperidinyl] -propan amide) 




(56) Tilidine 


9750 


(57) Trimeperidine 


9646 


(c) Opium Derivatives. Unless specifically 


excepted or unless listed in another 


schedule. 


any of the following opium derivatives, its 


salts, isomers and salts of isomers whenever the 


existence of such sahs, isomers and 


salts of 


isomers is possible within the specific 


chemical 


designation: 




(1) Acetorphine 


9319 


(2) Acetyldihydrocodeine 


9051 


(3) Benz>'lmorphine 


9052 


(4) Codeine methylbromide 


9070 


(5) Codeine-\-Oxide 


9053 


(6) Cyprenorphine 


9054 


(7) Desomorphine 


9055 


(8) Dihydromorphine 


9145 


(9) Etorphine (except 


9056 


hvdrochloride salt) 




(10)' Herom 


9200 


(11) Hydromorphinol 


9301 


(12) Methyldesorphine 


9302 


(13) Methyldihydromorphine 


9304 


(14) Morphine methylbromide 


9305 


(15) Morphine methylsuUbnate 


9306 


(16) Morphine-N-Oxide 


9307 



(17) Myrophine 9308 

(18) Nicocodeine 9309 

(19) Nicomorphine 9312 

(20) Normorphine 9313 

(21) Pholcodine 9314 

(22) Thebacon 9315 

(23) Drotebanol 9335 
(d) HaUucinogenic Substances. Unless spe- 
cifically excepted or unless listed in another 
schedule, any material, compound, mixture or 
preparation which contains any quantity of the 
following hallucinogenic substances, or which 
contains any of its salts, isomers and salts of 
isomers, whenever the existence of such salts, 
isomers and salts of isomers is possible within 
the specific chemical designation (for purposes 
of this Paragraph only, the term "isomer" in- 
cludes the optical, position and geometric 
isomers): 

(1) 3,4-methylenedioxy 7400 
amphetamine 

(2) 5-methoxy-3,4- 7401 
methylenedioxy-amphetamine 

(3) 3,4,5-trimethoxy 7390 
amphetamine 

(4) Bufotenine 7433 
Some trade and other names: 

3-(B-Dimethylaminoethyl)- 

5-hydroxyindole; 
3-(2-dimethylaminoethyl)-5- 

indolol; 

N,N-dimethylserotonin; 
5-hydroxy-N, N- 

dimethyltry ptamine; 
mappine. 

(5) Diethyltryptamine 7434 
Some trade and other names: 

N,N-Diethyhryptamine; DET 

(6) Dimethyltry ptamine 7435 
Some trade and other names: 

DMT 

(7) 3,4-methylenedioxy- 7405 
methamphetamine (MDMA) 

its optical, positional 
and geometric isomers, 
salts, and salts of isomers 

(8) 4-methyl-2,5-dimethoxy- 7395 
amphetamine 

Some trade or other names: 
4-methyl-2.5-dimethoxy-a- 
methylphenethvlamine; "DOM" 
and "STP." 

(9) Ibogaine 7260 
Some trade and other names: 

7-Ethyl-6,6B,7, 8,9,10, 12,13 
-octahydro-2-methoxy-6,9- 
methano-5H-pyrido (1,2': 
1,2) azepino (5,4-b) 
indole; tabemanthe iboga. 



551 



NORTH CAROLINA REGISTER 



FINAL RULES 



( 1 0) I .ysergic acid 73 1 5 
diethylamide 

Some trade or other names; 
LSD 

(11) Mescaline 7381 

(12) N-ethyl-1- 7455 
phenylcyclohexylamine 7455 

(13) l-(l-phenylcyclohexyl) 7458 
pyrrolidine 

(14) Parahexyl 7374 
Some trade or other names: 

3-Hexyl-l-hydroxy-7,8,9, 

lO-tetrahydro-6,6,9- 

trimethyl-6H-dibenzo|b,d| 

pyran; 

Synhexyl. 

(15) Pcyote -- meaning all 7415 
parts of the plant presently 

classified botanically as 
Lophophora Williamsii 
Lemaire, whether growing or 
not; the seeds thereof; any 
extract from any part of 
such plant; and even,' 
compound, manufacture, salt, 
derivative, mixture or 
preparation of such plant, 
its seed or extracts. 

(16) N-ethyl-3-piperidyl 7482 
benzUate 

(17) N-methyl-3-piperidyl 7484 
benzilate 

(18) Psilocybin 7437 

(19) Psilocyn 7438 

(20) 2,5-dunethoxyamphetamine 7396 
Some trade and other names: 

2,5-dimethoxy-a- 

methylphenethylamine; 

2,5-DMA. 

(21) 4-bromo-2,5-dimethoxy- 7391 
amphetamine 

Some trade or other names: 
4-bromo-2,5-dimethoxy-a 
-methvlphenethylamine; 
4-bromo-2,5-DMA. 

(22) 4-methoxyamphetamine 7411 
Some trade or other names: 

4-methoxy-a- 
mcthylphenethylamine; 
paramethoxyamphetamine; 
PMA. 

(23) Thiophene analog of 7470 
phcncyclidine 

Some trade or other names: 
l-|l-(2-thicnyl)-cyclohexyl| 
-piperidine; 
2-thienyl analog of 
phcncyclidine; 

Tpcp, rcp. 



(e) Depressants. Unless specifically excepted 
or unless listed in another schedule, any mate- 
rial compound, mixture or preparation which 
contains any quantity of the following sub- 
stances having a depressant effect on the cen- 
tral nervous system, including its salts, isomers 
and salts of isomers whenever the existence of 
such salts, isomers and salts of isomers is pos- 
sible within the specific chemical designation: 

(1) mecloqualone 2572 

(2) methaqualone 2565 

(f) Stimulants. Unless specifically excepted 
or unless listed in another schedule, any mate- 
rial, compound, mixture, or preparation which 
contains any quantity of the following sub- 
stances having a stimulant effect on the central 
nervous system, including its salts, isomers, 
and salts of isomers: 

(1) Fenethylhne 1503 

(2) N-ethylamphetamine 1475 

History Note: Statutory Authority 
G.S. 90-88; 90-89; I43B-I47; 
Eff. June 30, 1978; 
Amended Eff. December 1 , 1987; 
August I. 1987; December I. 1986; 
July I, 1986. 

.0203 SCHEDULE II 

(a) Schedule II shall consist of the drugs and 
other substances by whatever official name, 
common or usual name, chemical name or 
brand name and designated listed in tins Rule. 
Mdch drug or substance has been assigned the 
Drug Enforcement Administration controlled 
substances code number set forth opposite it. 

(b) Substances, Vegetable Origin or Chemi- 
cal Synthesis. Unless specifically excepted or 
unless listed in another schedule, any of the 
following substances whether produced di- 
rectly or indirectly by extraction from the sub- 
stances of vegetable origin or independently 
by means of chemical synthesis or by a com- 
bination of extraction and chemical synthesis: 

(1) opium and opiate, and any salt, com- 
pound, derivative or preparation of 
opium or opiate, excluding apomor- 
phine, nalbuphine, dextrorphan, nalox- 
one, naltrexone, and nalmefene and 
their respective salts but including the 
following: 

(A) Raw opium 9600 

(B) Opium extracts 9610 

(C) Opium fluid extracts 9620 

(D) Powdered opium 9639 

(E) Granulated opium 9640 

(F) Tincture of opium 9630 

(G) Codeine 9050 
(H) Ethylmorphine 9190 



NORTH CAROLINA REGISTER 



532 



FINAL RULES 



(I) Hydrocodone 9193 

(J) nVdromorphine 9150 

(K) Metopon 9260 

(L) Morphine 9300 

(M) Oxycodone 9143 

(N) Owmorphone 9652 

(O) Thebaine 9333 

(P) Etorphine hydrochloride 9059 

(2) any sah, compound, derivative or prep- 
aration thereof which is chemically 
equivalent or identical with any of the 
substances referred to in Subparagraph 
(1) of this Paragraph (b), except that 
these substances shall not include iso- 
quinohne alkaloids of opium: 

(3) opium poppy and poppy 9650 
straw 

(4) coca leaves (9040) and any salts, com- 
pound, deri\ative or preparation of 
coca leaves and any salt, compound, 
derivative or preparation thereof which 
is chemically equivalent or identical 
with any of these substances, except 
that the substances shall not include 
decocainized coca leaves or extraction 
of coca leaves, which extractions do not 
contain cocaine (9041) or ecgonine 
(9180); 

(5) concentrate of poppy straw (the crude 
extract of poppy straw in either liquid, 
solid or powder form which contains 
the phenanthnne alkaloids of the opium 
poppy 1 (9670). 

(c) Opiates. Unless specifically excepted or 
unless in another schedule any of the following 
opiates, including its isomers, esters, ethers, 
salts and salts of isomers, esters and ethers 
whenever the existence of such isomers, esters, 
ethers and salts is possible within the specific 
chemical designation, dextrorphan e.xcepted: 

(1) Alfentlmil 9737 

(2) Alphaprodine 9010 

(3) /Vnileridine 9020 

(4) Benzitramide 9800 

(5) Dihydrocodeme 9120 

(6) Diphenoxylate 9170 

(7) Fentanvl ' 9801 

(8) Isomethadone 9226 

(9) Levomethorphan 9210 

(10) Levorphanol 9220 

(11) Metazocine 9240 

(12) Methadone 9250 

(13) Methadone-Intermediate, 9254 
4-cyano-2-dimethylamino-4, 
4-diphenyl butiine 

(14) .Moramide- Intermediate, 9802 
2-methyl-3-morpholmo-l, 
1-diphenylpropane-carboxylic 

acid 



9230 
9232 



9233 



9234 



(15) Pethidine(meperidine) 

(16) Pethidine-Intermediate- 
A,4-cyano-l-methyl-4- 
phenylpiperidine 

(17) Pethidine- Intermediate 
-B, ethyl-4-phenylpiperidine 
-4-carboxylate 

(18) Pethidine- Intermediate 
-C,l-methyl-4- 
phenylpiperidine-4- 
carboxyhc acid 

(19) Phenazocine 9715 

(20) Piminodme 9730 

(21) Racemethorphan 9732 

(22) Racemorphan 9733 

(23) Sufentanil 9740 

(d) Stimulants. Unless specifically excepted 
or unless hsted in another schedule any mate- 
rial, compound, mixture or preparation which 
contains any quantity of the following sub- 
stances having a stimulant effect on the central 
ner\'ous system: 

(1) .Amphetamine, its salts, 1100 
optical isomers, and salts 

of its optical isomers 

(2) Methamphetamine, its 1105 
salts, isomers and salts of 

its isomers 

(3) Phenmetrazine and its 1631 
salts 

(4) Methylphemdate 1724 

(5) Nabilone 7379 
|.\nother name for nabilone: 

(plus or minus)trans- 
3-( 1 , 1 -dimethylheptyl)- 
6,6a,7,8,10,10a-hexahydro 
- l-hydroxy-6,6-dimethyl 
-9H-dibenzolb,d|pyran-9-one). 

(6) Phenylacetone ' 8501 
Some trade or other names: 

Phenyl-2-propanone; 

P2P;' 

benzyl methyl Ketone; 

methyl benzyl Ketone; 

(7) Phencychdine 7471 

(A) 1-Phenylcyclohexylamine 7460 

(B) 1-Piperidinocyclohexane 8603 
-carbonitrile (PCC) 

(e) Depressants. Unless specifically excepted 
or unless listed in another schedule, any mate- 
rial, compound, mixture of preparation which 
contains any quantity of the following sub- 
stances having a depressant effect on the cen- 
tral ner\'ous system, including its salts, isomers 
and salts of isomers whenever the existence of 
such salts, isomers and salts of isomers is pos- 
sible within the specific chemical designation: 



5i3 



NORTH CAROLINA REGISTER 



FINAL RULES 



(1) Amobarbital 2125 

(2) Pentobarbital 2270 

(3) Secobarbital 2315 
(f) Hallucinogenic Substances. 

Dronabinol (synthetic) 

in sesame oil and 

encapsulated in a soft 

gelatin capsule in a U.S. 

Food and Drug Administration 

approved drug product 7369 

[Some other names for 

dronabinol: 

((6aR-trans)-6a,7,8,10a- 

tetrahydro-6,6,9-trimethyl- 

3-pentyl-6H-dibenzo|b,d| 

pyran- l-o 1 ],or(-)-delta-9- 

(trans)- tetrahydrocannabLnol) 

History Note: Statutory Authority 
Ci.S. 90-88: 90-90; I43B-I47; 
Eff. June 30, 1978; 
Amended Eff. December 1 . 1987; 
August I. 1987; December I, 1986; 
April I, 1986. 

.0204 SCHEDULE III 

(a) Schedule III shall consist of the drugs and 
other substances, by whatever official name, 
common or usual name, chemical name, or 
brand name designated, Listed in this Rule. 
Each drug or substitute has been assigned the 
Drug Hnforcement .Administration controlled 
substances code number set forth opposite it. 

(b) Stimulants. Unless specifically excepted 
or unless listed in another schedule, any mate- 
rial, compound, mixture or preparation which 
contains any quantity of the following sub- 
stances having a stimulant effect on the central 
nervous system: 

(1) Those compounds, mixtures 
or preparations in dosage 
unit form containing any 
stimulant substances which 
are currently listed as 
excepted compounds under 
Section 9.32 and anyother 
drug of the quantitative 
composition shown in that 
list of those drugs or 

which is the same except 

that it contains a lesser 

quantity of controlled 

substances 1405 

(2) Benzphetamine 1228 

(3) Chlorphentermine 1645 

(4) Clortcrrrdne 1647 

(5) Phendimetrazine 1615 

(c) Depressants. Unless specifically excepted 
or unless listed in another schedule, any mate- 



rial, compound, mixture or preparation which 
contains any quantity of the following sub- 
stances having a depressant effect on 

(1) Any compound, mixture or preparation 
containing: 

(A) Amobarbital 2126 

(B) Secobarbital 2316 

(C) Pentobarbital 2271 
or any salt thereof and one or more ac- 
tive medicinal ingredients which are not 
listed in any schedule; 

(2) Any suppository dosage form contain- 
ing: 

(A) Amobarbital 2126 

(B) Secobarbital 2316 

(C) Pentobarbital 2271 
or any salt of any of these drugs and 
approved by the Food and Drug Ad- 
ministration for marketing only as a 
suppository; 

(3) Ariy substance which contains 
any quantity of a derivative 

of barbituric acid or any 

salt thereof 2100 

(4) Chlorhe.xadol 2510 
Glutethimide 2550 
Lysergic acid 7300 
Lysergic acid amide 7310 
Methypr>lon 2575 
Sulfondiethylmethane 2600 
Sulfonethylmethane 2605 
Sulfonmethane 2610 
Tiletamine and zolazepam 

or any salt 7295 

thereof- 
Some trade or other names 
for a tiletamine-zolazepam 
combination product: Telazol. 
Some trade or other names 
for tiletamine: 

2-(ethylamino)-2-(2-thienyl) 
-cyclohexanone. 
Some trade or other names 
for zolazepam: 
4-(2-fluorophenyl)-6,8- 
dihydro-l,3,8-trimethylpyrazolo 
-[3,4-e| (l,4|-diazepin-7 
(lH)-one. flupyrazapon. 

(d) Nalorphine (a narcotic drug) 9400 

(e) Narcotic Drugs. Unless specifically ex- 
cepted or unless in another schedule, any ma- 
terial compound, mixture or preparation 
containing limited quantities of any of the fol- 
lowing narcotic drugs or any salts thereof: 

(1) not more than 1.8 grams of codeine per 
100 milliliters or not more than 90 mil- 
li grams per dosage unit, with an equal 
or greater quantity of an isoquinoline 
alkaloid of opium"9803; 



(5) 
(6) 

(7) 

(8) 

(9) 

(10) 

(11) 
(12) 



NORTH CAROLINA REGISTER 



534 



FINAL RULES 



(2) not more than 1.8 grams of codeine per 
100 milliliters or not more than 90 mil- 
ligrams per dosage unit, with one or 
more active nonnarcotic ingredients in 
recognized therapeutic amounts--9804; 

(3) not more than 300 milligrams of dihy- 
drocodeinone per 100 milliliters or not 
more than 15 milligrams per dosage 
unit with a fourfold or greater quantity 
of an isoquinoline alkaloid of 
opium-9805; 

(4) not more than 300 milligrams of dihy- 
drocodeinone per 100 milliliters or not 
more than 15 milligrams per dosage 
unit with one or more active nonnar- 
cotic ingredients in recognized thera- 
peutic amounts--9806; 

(5) not more than 1.8 grams of dihydroco- 
deine per 100 milliliters or not more 
than 90 milligrams per dosage unit with 
one or more active nonnarcotic ingre- 
dients in recognized therapeutic am- 
ounts-9807; 

(6) not more than 300 milligrams of ethyl- 
morphine per 100 milliliters or not 
more than 15 milligrams per dosage 
unit with one or more active nonnar- 
cotic ingredients in recognized thera- 
peutic aniounts--9808; 

(7) not more than 500 milligrams of opium 
per 100 milliliters or per 100 grams or 
no more than 25 milligrams per dosage 
unit with one or more active nonnar- 
cotic ingredients in recognized thera- 
peutic ainounts--9809; 

(8) not more than 50 milligrams of mor- 
phine per 100 milliliters or per 100 
grams with one or more active nonnar- 
cotic ingredients in recognized thera- 
peutic amounts--9810. 

tlistory Note: Statutory Authority 
G.S. 90-88: 90-91: I43B-I47; 
Eff. June 30, 1978: 
Amended Eff. December 1 . 1987; 
August I, 1987: July J, 1982. 

.0205 SCHKHLIK IV 

(a) Schedule IV shall consist of the drugs and 
other substances by \\hatever official name, 
common or usual name, chemical name or 
brand name designated listed in this Rule. 
Evach drug or substance has been assigned the 
Drug Enforcement Administration controlled 
substances code number set forth opposite it. 

(b) Depressants, liilcss specifically excepted 
or unless listed in another schedule, any mate- 
rial, compound, mixture or preparation which 
contains any quantity of the following sub- 



stances, mcluding its salts, isomers and salts of 
isomers whenever the existence of such salts, 
isomers and salts of isomers is possible within 
the specific chemical designation: 



(1) Alprazolam 


2882 


(2) Barbital 


2145 


(3) Bromazepam 


2748 


(4) Camazepam 


2749 


(5) Chloral betaine 


2460 


(6) Chloral hydrate 


2465 


(7) Chlordiazepoxide 


2744 


(8) Clobazam 


2751 


(9) Clonazepam 


2737 


(10) Clorazepate 


2768 


(11) Clotiazepam 


2752 


(12) Cloxazolam 


2753 


(13) Delorazepam 


2754 


(14) Diazepam 


2765 


( 1 5) Estazolam 


2756 


(16) Ethchlorvynol 


2540 


(17) Ethinamate 


2545 


(18) Ethyl loflazepate 


2758 


(19) Eludiazepam 


2759 


(20) Flunitrazepam 


2763 


(21) Flurazepam 


2767 


(22) Halazepam 


2762 


(23) Haloxazolam 


2771 


(24) Ketazolam 


2772 


(25) Loprazolam 


2773 


(26) Lorazepam 


2885 


(27) Lormetazepam 


2774 


(28) Mebutamate 


2800 


(29) Medazepam 


2836 


(30) Meprobamate 


2820 


(31) Methohexital 


2264 


(32) Methylphenobarbital 




(mephobarbital) 


2250 


(33) Midazolam 


2884 


(34) Nimetazepam 


2837 


(35) Nitrazepam 


2834 


(36) Nordiazepam 


2838 


(37) Oxazepam 


2835 


(38) Oxazolam 


2839 


(39) Paraldehyde 


2585 


(40) Petrichloral 


2591 


(41) Phenobarbital 


2285 


(42) Pinazepam 


2883 


(43) Prazepam 


2764 


(44) Quazepam 


2881 


(45) Temazepam 


2925 


(46) Tetrazepam 


2886 


(47) Triazolam 


2887 



(c) Feniluramine. Any material compound, 
mixture jr preparation which contains any of 
the following substances including its salts, 
isomers (whether optical, position or geomet- 
ric) and salts of such isomers whenever the 
existence of such salts, isomers and salts of 
isomers is possible: 



5i5 



NORTH CAROLINA REGISTER 



FINAL RULES 



Fenfluramine 1670 

(d) Stimulants. Unless specifically excepted 
or unless listed in another schedule, any mate- 
rial, compound, mixture, or other preparation 
which contains any quantity of the following 
substances having a stimulant effect on the 
central nervous system, including its salts, 
isomers (whether optical, position, or geomet- 
ric), and salts of such isomers whenever the 
existence of such salts, isomers, and salts of 
isomers is possible within the specific chemical 
designation: 

(1) Diethylpropion 1610 

(2) Mazindol 1605 

(3) Phentermine 1640 

(4) Pemolin (including 
organometaUic complexes and 
chelates thereof) 1 530 

(e) Other Substances. Unless specifically 
excepted or unless listed in another schedule, 
any material, compound, mixture or prepara- 
tion which contains any quantity of the fol- 
lowing substance, including its salts: 

(1) Pentazocine 9709 

Pipradrol 1750 

SPA |(-)-l-dLmethylamino 
l,2-diphenylethane| 1635 

Narcotic Drugs. Unless specifically ex- 
cepted or unless listed in another schedule, any 
material, compound, mixture or preparation 
containing limited quantities of an> of the fol- 
lowing narcotic drugs, or any salt thereof 

(1) not more than one 
milligram of difenoxin and 
not less than 25 micrograms 
of atropine sulfate per 

dosage unit, 9167 

(2) Dextropropoxyphene (alpha 
-( + )-4-dimethylamino- 1 ,2- 
diphenyl-3-methyl-2- 
propionoxybutane), 9278 

(3) Buprenorphine 9064 

History Note: Statutory Authority 
G.S. 90-88; 90-92; I43B-I47; 



(2) 
(3) 

(0 



Eff. June 30, 1978; 
Amended Eff. December I, 1987; 
August I, 1987; December 1. 1986; 
August I, 1985. 

.0206 SCHEDULE V 

(a) Schedule V shall consist of the drugs 
and other substances by whatever official 
name, common or usual name, chemical 
name or brand name designated, listed in 
this Rule. 

(b) Narcotic Drugs Containing Nonnar- 
cotic Active Medicinal Ingredients. Any 
compounds, mixture or preparation con- 
taining any of the following limited quanti- 
ties or narcotic drugs or salts thereof which 
shall include one or more nonnarcotic active 
medicinal ingredients in sufficient propor- 
tion to confer upon the compound, mixture 
or preparation valuable medicinal qualities 
other than those possessed by the narcotic 
drug alone: 

(1) not more than 200 milligrams of codeine 
per 100 milliliters or per 100 grams, 

(2) not more than 100 milligrams of dihy- 
drocodeine per 100 milliliters or per 100 
grams, 

(3) not more than 100 milligrams of ethyl- 
morphine per 100 milliliters or per 100 
grams, 

(4) not more than 2.5 milligrams of diphe- 
noxylate and not less than 25 micro- 
grams of atropine sulfate per dosage 
unit, 

(5) not more than 100 milligrams of opium 
per 100 milliliters or per 100 grams, 

(6) not more than 0.5 rruUigrams of dife- 
noxin and not less than 25 micrograms 
atropine sulfate per dosage unit. 

History Note: Statutory Authority 
G.S. 90-88(a); 
Eff. June 30, 1978; 
Amended Eff. December 1 , 1987; 
April I, 1983; March 30, 1979. 



.. 



NORTH CAROLINA REGISTER 



536 



LIST OF RULES AFFECTED 



NOR! H CAROLINA ADMINISTRATIVE CODE 
EFFECTrV'E: November 1, 1987 



AGENCY 

UKPAKIMKNT OK AGRICl I 11 RE 



ACTION TAKEN 



2 NCAC 34 


.0601 




Temp. Amended 
Expires 4-12-88 




.0603 




Temp. Amended 
Expires 4-12-88 




.0605 




Temp. Amended 
Expires 4-12-88 


DEPARIMKNT OF COMMERCE 


.0103 




4 NCAC IG 


.0101- 


Temp. Adopted 








Expires 2-13-88 




.0201- 


.0203 


Temp. Adopted 
Expires 2-13-88 




.0301- 


.0302 


Temp. Adopted 
Expires 2-13-88 




.0101- 


.0103 


Adopted 




.0201- 


.0203 


Adopted 




.0301- 


.0302 


Adopted 


5A 


.0106 




Temp, .•\mended 
Expires 4-2-88 


DEPARTMENT OF HUMAN 


RESOURCES 




10 NCAC 8A 


.1102- 


1103 


Temp. Amended 
Expires 4-17-88 


lOD 


.0906 




Amended 


lOG 


.0107 




Temp. .Amended 
Expires 4-28-88 




.0505 




Temp. Amended 
Expires 4-28-88 


14C 


.1117 




Temp. Amended 
Expires 4-1 1-88 


181 


.0120 




Temp. Amended 
Expires 4-11-88 


508 


.0313 




Amended 


DEPARTMENT OF NATl RAL RESOURCES 


AND COMMUNITY DEVEUOPMENT 


15 NCAC 2\\ 


.0102- 


0103 


/Vmended 




.0104 




Repealed 




.0106 




Amended 




.0110 




Repealed 




.0111 




/Vmended 




.0114 




/Vmended 




.0118 




/Vmended 




.0201- 


0203 


/Vmended 


16C 


.0105 




/Vmended 




.0108 




/Vmended 



537 



NORTH CAROLINA REGISTER 



LIST OF RULES AFFECTED 



DKP AK IMFNT OF RKVEM E 



17 


NCAC 


5B 


.0104 








5C 


.2001- 


.2002 


DFPARTMFNT OF TRANSPORTATION 


19A 


NCAC 


2B 


.0221 








2E 


.0219- 
.0222 


.0220 


RFAF FSTATF LICENSING BOARD 


21 


NCAC 


58A 


.0109 

.0601 

.0805 

.0905 

.1003 

.1005- 

.1104 

.1202 

.1206 

.1305 

.1307 


.1006 


OFFICE OF 


STATE PERSONNEL 




25 


NCAC 


IE 
\\\ 


.0704- 

.0707- 

.0602 

.0605 

.0616- 

.0625- 


.0705 
.0710 

.0617 
.0628 






IL 


.0001- 
.0004- 


.0002 
.0005 


OFFICE OF 


ADMINISTRATE E HEARINGS 



26 NCAC 3 .0002-. 00 10 

.0012-.0015 
.00 17-. 0022 
.0028 



Amended 
Amended 



Amended 
Amended 
Amended 



Amended 
Amended 
Amended 
Amended 
Amended 
Amended 
yVmended 
Amended 
Amended 
Amended 
Amended 



Adopted 

Adopted 

Amended 

Amended 

Adopted 

Adopted 

Amended 

Amiended 



Amended 
Amended 
Amended 
Amended 



NORTH CAROLINA REGISTER 



538 



NC AC INDEX 



TI ILK/MAJOR DIMSIONS OF THE NORTH CAROLINA AD.MIMSTRATIVE CODE 

THLE DEPARIMENT 

1 Administration, Department of 

2 Agriculture, Department of 

3 Auditor, Department of State 

4 Commerce, Department of 

5 Corrections, Department of 

6 Council of State 

7 Cultund Resources, Department 

8 Elections, State Board of 

9 Governor, Office of the 

10 Human Resources, Department of 

11 Insurance, Department of 

12 Justice, Department of 

13 Labor, Department of 

14A Crime Control and Public Safety, Department of 

1 5 Natural Resources and Community Development 

16 Education, Department of 

17 Re\'enue, Department of 

18 Secretary' of State. Department of 
19A Transportation, Department of 
20 Treasurer, Department of State 

*21 Occupational Licensing Boards 

22 Administrative Procedures 

23 Community Colleges, Department of 

24 Independent Agencies 

25 State Personnel, Office of 

26 Administrative Hearings, Office of 

NOTE: Title 21 contains the chapters of the various occupational Licensing boards. 

CHAPTER LICENSrSG BOARDS 

2 Architecture, Board of 

4 Auctioneers, Commission for 

6 Barber Examiners, Board of 

8 Certified Pubhc Accountant Examiners 

10 Chiropractic Examiners, Board of 

12 Contractors, Licensing Board for 

14 Cosmetic /Vrt Examiners, Board of 

16 Dental Examiners, Board of 

18 Electrical Contractors, Board of Examiners 

20 Eoresters, Board of Registration for 

21 Geologists, Board of 

22 Hearing Aid Dealers and Litters Board 
26 Landscape Architects, Licensing Board of 

28 Landscape Contractors, Registration Board of 

31 Martial & Eamily Therapy Certification Board 

32 Medical Examiners, Board of 

33 Midwifery Joint Committee 

34 Mortuarv' Science, Board of 

36 Nursing, Board of 

37 Nursing Home Administrators, Board of 

38 Occupational Therapist. Board of 
40 Opticians. Board of 

42 Optomctr\', Board of Examiners in 



539 NORTH CAROLINA REGISTER 



NC AC INDEX 



44 Osteopathic Examination and Registration 

46 Phannacy, Board of 

48 Physical Therapy, Examining Committee of 

50 Plumbing and Heating Contractors, Board of 

52 Podiatry Examiners, Board of 

53 Practicing Counselors, Board of 

54 Practicing Psychologists, Board of 

56 Professional Engineers and Land Surveyors, Board of 

58 Real Estate Commission 

60 Refrigeration Examiners, Board of 

62 Sanitarian Examiners, Board of 

63 Social Work, Board of 

64 Speech and Language Pathologists and 

Audiologists, Board of Examiners of 

66 Veterinary Medical Board 



NOR TH CAROLINA REGIS TER 540 



CUMULA TIVE INDEX 



CUMULA THE L\DEX 

(April 1987 - March 1988) 



1987- 1988 



Pages 



Issue 



1 - 137 

138 - 169 

170 - 198 

199 - 285 

286- 364 

365 - 417 

418 - 487 

488 - 544 



1 - April 



2 - 

3 - 


May 
June 


4 - 

5 - 

6 - 

7 - 


July 

Augiist 

September 

October 


8 - 


November 



AG - Administrative Order 

AG - Attorney General's Opinions 

C - Correction 

E - Errata 

EO - Executive Order 

FDL - Final Decision Letters 

FR - Fmal Rule 

GS - General Statute 

JO - Judicial Orders or Decision 

ERA - Eist of Rules Affected 

\I - Miscellaneous 

NP - Notice of Petitions 

PR - Proposed Rule 

SO - Statements of Organization 

TR - Temporary Rule 



ADMINISTRATION 

Auxiliary Services, 203 PR 
Departmental Rules, 429 PR 
Propertv and Construction. 388 PR 
State Construction, 388 PR 
State Employees Combined Campaign, 

ADMESISTRATrVE HEARINGS 

Hearings Di\ision, 408 PR 



13 PR, 334 PR 



204 PR, 429 PR 



AGRICLLTLRE 

Food and Drug Protection Di\ision, 

Markets, 206 PR 

N. C. State Fair, 205 PR 

Pesticide Board, 13 PR 

Standards Division, 206 PR 

Structural Pest Control, 205 PR, 393 PR, 492 PR 

Veterman-, 209 PR 



COMMERCE 



541 



NORTH CAROLINA REGISTER 



CUMULA TIVE INDEX 



Ccmetcr>' Commission, 429 PR 
Credit Union Division, 334 PR 
Departmental Rules. 14 PR, 143 PR 
Savings & Loan Division, 147 PR 
Sealbod Industrial Park Authority, 430 PR 

COMML^NITY COLLEGES 

Community Colleges, 270 PR 

CORRECTION 

Division of Prisons, 105 FR, 190 FR, 275 FR 
Parole Commission, 106 FR 

CRIME CONTROL AND PUBLIC SAFETY 

State Highway Patrol, 159 PR 
Victim and Justice Services, 342 PR 



EXECUTIN E ORDERS 






lixecutive Orders 34 - 


42, 1 


EO 


43 - 


46, 138 


HO 


47 - 


49, 171 


no 




50, 199 


EO 


51 - 


53,288 


FO 




54, 384 


EO 


55 - 


56,418 


EO 



EESAL DECISION LETTERS 

Votmg Rights Act, 10 FDL, 141 FDl , 200 FDL, 291 FDL, 385 FDL, 489 FDL 

GENERAL STATUTES 

Chapter 7A, 382 GS 
Chapter 143B, 286 GS 
Chapter 150B, 366 GS 

HUMAN RESOURCES 

AFDC, 156 PR 

Commission of Anatomy, 441 PR 
Departmental Rules, 492 PR 
Drug Commission, 530 FR 
Facihty Services, 174 PR, 211 PR, 393 PR 
Familv Scr\ices, 152 PR 
Health Sen,'ices, 237 PR, 432 PR, 494 PR 
Individual and Family Support, 153 PR 

Medical Assistance, 149 PR, 174 PR, 248 PR, 339 PR, 396 PR, 443 PR, 506 PR 
Mental Health, Mental Retardation 
and Substance Abuse, 15 PR, 247 PR, 337 PR, 442 PR 
Notice, 170 C, 488 C 
Social Services Commission, 397 PR 

INDEPENDENT AGENCIES 

Housing Finance, 355 PR 

INSURANCE 

Life Accident & Health Division, 17 PR 

JUDICIAL ORDERS 

Martin v. Melott, 420 JO 

JUSTICE 



NOR TH CAROLINA REGIS TER 542 



CUMULA TIVE INDEX 



Fducation and Training Standards, 19 PR 
N.C. iVlarm Systems, 341 PR 
Private Protective Services, 249 PR 

LICENSrSG BOARDS 

CPA, 269 PR, 351 PR, 516 PR 

Chiropractic Examiners, 178 PR 

Dental Examiners, 461 PR 

Geoloeists, 524 PR 

Medical Examiners, 95 PR, 403 PR 

Mortuap, Science, 404 PR 

Nursing Home Administrators, 182 PR 

Opticians, 404 PR 

Real Estate, 352 PR 

Refrigeration Examiners, 526 PR 

LIST OF RULES AFFECTED 

Volume 12, No. 1 
(April 1, 1987), 131 ERA 
Volume 12, No. 2 
(May 1, 1987), 163 ERA 
Volume 12, No. 3 
(June 1, 1987), 193 ERA 
Volume 12, No. 4 
(July 1, 1987), 277 ERA 
Volume 12, No. 5 
(August 1, 1987) 358 ERA 
Volume 12, No. 6 
(September 1, 1987), 411 ERA 
October 1. 1987, 479 ERA 
November 1, 1987, 537 ERA 

NATURAE RESOURCES AND COMMUNIFY DEVELOPMENT 

Coastal .Management, 94 PR, 160 PR, 259 PR, 347 PR, 365 C, 401 PR, 445 PR, 510 PR 

Community Assistance, 511 PR 

Economic Opportumtv, 161 PR 

Imvironmental Management, 29 PR, 249 PR, 346 PR, 506 PR 

Manne Fisheries, 84 PR, 255 PR 

Wildlife Resources and Water Safety, 175 PR, 268 PR, 446 PR 

PUBLIC EDI CATION 

Elementary and Secondary, 348 PR 

REVENUE 

Corporate Income Franchise Tax, 470 FR 
Individual Income Tax, 107 FR 
Motor Fuels Tax, 108 FR 

STATE PERSONNEL 

Employee Benefits, 183 PR, 408 PR 
Office of State Personnel, 96 PR, 465 PR 

STATE TREASURER 

Departmental Rules, 161 PR 

Educational Facilities Fmance Agency, 349 PR, 475 FR 

Investment Program, 177 PR 

ST.\TEMENTS OF ORGANIZATION 

Statements of Orsanization, 295 SO 



54i NOR TH CAROLINA REGIS TER 



CUMULA TIVE INDEX 



TRANSPORTATION 

Division of Highways, 410 FR, 471 FR 
Motor Vehicles, 109 FR 



NORTH CAROLINA REGISTER 544 



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